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Discussion Starter · #1 ·
The curtain falls on a collaboration that stretches back four decades. Changhe introduced the Suzuki ST90V Carry-based CH730 in 1982. In 1995, Jiangxi Changhe Suzuki Automobile Co., Ltd. was established in China. Now, after 23 years, following years of mediocre performance, the Sino-Foreign Joint Venture has been dissolved. The Changhe Suzuki range had dwindled to variations of just one model, the Beidouxing, and the proposed production of the outgoing JB43 Jimny did not materialize.

The three Japanese shareholders Suzuki Motor Corp., Suzuki (China) Investment Co., Ltd. and Okaya & Co., Ltd. who held 25%, 21%, and 3% of the JV, have transferred all equity holdings to their Chinese partner Jiangxi Changhe Automobile Co., Ltd. on May 30, 2018.

Jiangxi Changhe Suzuki Automobile Co., Ltd. has been renamed Jiangxi Zhicheng Automobile Co., Ltd. (江西志骋汽车有限责任公司), and is now a 100% subsidiary of Jiangxi Changhe Automobile Co., Ltd.

Beijing Automotive Group Co., Ltd. currently holds 76.7% of Jiangxi Changhe Automobile.

http://www.globalsuzuki.com/globalnews/2018/0615.html
http://autonews.gasgoo.com/china_news/70014775.html

Updated corporate profile:
https://www.qichacha.com/firm_ee1b75c2a36efa724dd7766021e45706.html
 

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Act II: Now Suzuki to leave Changan-Suzuki too

Changan Automobile to acquire Suzuki stake in Changan-Suzuki:
http://autonews.gasgoo.com/china_news/70014829.html
http://www.sohu.com/a/238375383_114771

Suzuki Global HQ has not issued any statement yet.

"Changan Suzuki" brand will remain for the time being; Changan will have technical licensing agreements with Suzuki as long as the latter's products remain on the market.

Although every report is saying Changan Suzuki's sales performance is poor (around 85000 in 2017), among joint ventures, it is certainly not as bad as that of Dongfeng Yulon (less than 20,000) or Changan-PSA (6,000).
 

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Discussion Starter · #4 · (Edited)
Suzuki leaves Changan-Suzuki (confirmed)

Well, the rumor becomes true.

Suzuki is indeed selling its 50% stake in Chongqing Changan Suzuki Automobile Co., Ltd. (held 40% by Suzuki Motor Corp. and 10% by Suzuki China Investment Co., Ltd.) to Chongqing Changan Automobile Co., Ltd. for the sum of 1 yuan as the JV has completely eroded its net worth and now has a negative asset valuation. The share transfer will be completed by the end of this year. Changan Suzuki therefore becomes a 100% subsidiary of Chongqing Changan Automobile Co., Ltd. as the latter already held 50% of the shares.

As mentioned in post #2 above, Changan Auto will enter into a licensing agreement with Suzuki for as long as the Japanese automaker's cars are sold in the Chinese market, since the Suzuki brand or its models are not being killed off immediately. Service and maintenance too will not be hampered for Suzuki car buyers.

Unlike in June, this time we have confirmation from both sides.

http://finance.sina.com.cn/stock/s/2018-09-04/doc-ihiqtcap1719880.shtml
http://ucheke.jrj.com.cn/2018/09/04173925046186.shtml

http://www.globalsuzuki.com/globalnews/2018/0904.html
 

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Re: Suzuki leaves Changan-Suzuki (confirmed)

........As mentioned in post #2 above, Changan Auto will enter into a licensing agreement with Suzuki for as long as the Japanese automaker's cars are sold in the Chinese market, since the Suzuki brand or its models are not being killed off immediately. Service and maintenance too will not be hampered for Suzuki car buyers........
The JV was formed in 1993 under a 30 year contract, so that should take it through to the expiration date of 2023.
Up until the establishment of the JV in '93, Chang'an was already producing Suzuki vehicles for eleven years under a license agreement.
 

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Re: Suzuki leaves Changan-Suzuki (confirmed)

The JV was formed in 1993 under a 30 year contract, so that should take it through to the expiration date of 2023.
Up until the establishment of the JV in '93, Chang'an was already producing Suzuki vehicles for eleven years under a license agreement.
Thank you for that info.
 
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