Suzuki demand surges in U.S. despite bankruptcy

2011 Suzuki Kizashi Sport
2011 Suzuki Kizashi Sport

Sales won't change the company's mind

In a surprising twist, Suzuki's U.S. sales have surged following American Suzuki Motors' bankruptcy.

The company had intended to stop selling their vehicles in the United States, but sales have been so brisk that they will import an additional 2,500 units to keep up with demand. In November, American Suzuki’s sales climbed 22 percent to 2,224 units. December sales are also up, but Chief Restructuring Officer M. Freddie Reiss said the increased sales cannot justify Suzuki's continued presence in the United States.

As we have previously reported, American Suzuki Motors filed for bankruptcy citing “unfavorable foreign exchange rates, disproportionally high and increasing costs associated with meeting more stringent state and federal automotive regulatory requirements.” Despite the impending end of U.S. car sales, the company plans to keep selling motorcycles, ATVs and boat engines in America.

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Comments (4)

tbrodie tbrodie
If the car has already been certified and is in production, why would regulatory costs be an issue? I can see where it would be an issue for the development of new models, but not after it's in production, unless there are new regulations that are going into affect which require retrofitting or retooling.
Dec 22nd, 2012 9:43am
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rambo_005 rambo_005
They mean they can no longer justify certifying their new models for sale in the U.S. due to the cost of doing so vs the small volumes they end up selling there.
Dec 22nd, 2012 4:54pm
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norther norther
...what about the bikes?
Dec 22nd, 2012 1:54am
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sensei sensei
The bikes are fine because they are a different corporate entity.
Dec 22nd, 2012 2:08pm
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