Suzuki Exits U.S. Market
Suzuki Motor Corp. announced it will shutter its three-decade-old U.S. arm, American Suzuki Motor Corp, after a precipitous drop in sales in recent years. The U.S. unit also filed for Chapter 11 Bankruptcy protection.
American Suzuki sold only 26,266 cars in its most recent fiscal year, down from a high of 102,000 vehicles in 2007.
In its announcement, the automaker cited low sales, a limited number of smaller models, high production costs, and stringent state and federal regulations. Other factors that impacted Suzuki include near-record highs of the yen against the dollar and rising fuel prices.
Suzuki said it will focus on offering its motorcycles, all-terrain vehicles (ATVs), and outboard motors in the U.S. market going forward.