Suzuki and Volkswagen projects to kick off in Jan. 2010

According to Suzuki CEO Osamu Suzuki, Volkswagen and Suzuki will kick off development on joint projects starting January 2010.

“We generally understand what we want from each other, through information exchanged up to now,” CEO Suzuki told reporters at the launch of the new Alto in Tokyo. “Actual, detailed execution — with our people going there and their people coming here — will be after January.”

Volkswagen has purchased a 19.9 percent stake in Suzuki as both companies move forward with a joint approach to the growing worldwide demand for more environmentally friendly vehicles.

Suzuki told reporters that the new partners plan to develop competitive, compact and fuel-efficeint vehicles. However, he did not give any concrete details.

It was reported last week that both companies plan to develop a new compact car for India that would cost between $4,300 and $5,400.

– By: Kap Shah

Source: Reuters