Suzuki Bankrupt, Files for Chapter 11 in America

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Suzuki Bankrupt, Files for Chapter 11 in America
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Despite a positive 5 percent sales increase for the month of October, American Suzuki is preparing to close up shop in North America, announcing it will file for Chapter 11 bankruptcy protection.

Japanese automaker Suzuki, while still prosperous in its home market of Japan, as well as in emerging markets like India, has made the decision to close its US operations, American Suzuki Motor Corp.

“While the decision to discontinue new automobile sales in the U.S. was difficult to make, today’s actions were inevitable under these circumstances,” the company said in a statement, referring to a small product lineup of low volume vehicles, not to mention high costs and government regulations.

Suzuki has said it will continue to honor warranties, as well as supply parts and service cars through its dealer network.

From over 100,000 units sold in 2007, the Japanese automaker has sold just 26,618 units last year.

The company won’t disappear from the US market altogether as it will continue to sell its popular motorcycles, as well as marine products and all-terrain vehicles.

Rumors have pointed to Suzuki’s US-market exit for quite some time, with many in the industry also signaling Mitsubishi as another likely candidate for Chapter 11.

  • Jno2968326

    Oh shit, I just purchased a new Kizashi one month ago !!!!!!

  • http://profile.yahoo.com/MY3RRKCPUL2BHSWMWWS7X7K3QM Stan_127

    I suppose only  71 people recommending this article speaks to the popularity of Suzuki. My last two new cars were Suzuki’s an 1989′ Swift gti with 195,000, and 1994 Swift GT with 210,000 miles on it as  drive it to work each day year in and out. When  I am done with 94′ I be going back to the 89′ I put a new engine in and will continue to enjoy that for another decade or so. Suzuki’s American departure is a loss to every person that has never owed one or ever had a chance to drive one. How did the best car slogan of all time go, “just ask the man who owns one”.

  • http://profile.yahoo.com/MY3RRKCPUL2BHSWMWWS7X7K3QM Stan_127

     Do not worry, your will be driving your car for decades, drive it and enjoy it.

  • Dave Service

    When will the Suzuki,s be auctioned off???

  • Jgaribaldi7

    They’re a very good company but missed the sports car market (2 seater) for some time. There were a few concept cars Suzuki refused to build in that niche….. what a shame! I’m looking at a Suzuki Cappuccino concept that could have swept  the market and beat all comers 5 years ahead of the comp !

  • Burckhalters

    Jno mines broke down and they wont honor my warrenty

  • Mike R

    I, personally, was a Suzuki dealer in IL for about a year when they decided to destroy their existing dealer body, one dealer at a time. Their corporate marketing department had their heads so far up their back-ends it wasn’t funny. They had very competent individuals to run their dealerships but the demise of Suzuki in North America all came from the top on down. I wish I could have seen the writing on the wall. I could have saved myself a personal fortune. Live and learn…..again.