Suzuki Confirms China Factory

FOLLOWING A thread in news earlier today Visordown can confirm Suzuki will set up a new joint venture to build a motorcycle factory in China.

The Japanese bike-building firm's second factory will make up to 500,000 motorcycles per year. Production is due to start around April/May 2009. The joint venture will be funded by the company to the tune of around £25m, giving it 40% stake in the Changzhu Haojue/Suzuki Motorcycle Company.

The company says it is expanding its motorcycle production in China and
India, the world's two largest bike markets, to meet demand.

Suzuki to build factory in China?

Suzuki is likely to announce later today that it will build its first motorcycle factory in China in just over a year’s time.
"We are in talks and will probably make an announcement by the end of
today,'' said Yoichi Kojima, a Suzuki spokesman.

Suzuki, based in Hamamatsu, Japan, is expanding motorcycle production in China and India, the world's two largest motorcycle markets, to meet demand in
both countries and to help boost overall volume drives in Europe. The company
currently makes motorcycles in China under a joint-venture with the Jinan Qingqi Suzuki Motorcycle Co.

Visordown understands that Suzuki will produce 500,000 motorcycles a year at
a second factory starting in early 2009.

Two other Chinese motorcycle makers, Nanjing Jincheng Motorcycle Co. and
Dachangjiang Group Co. Ltd., also produce Suzuki's motorcycles in the country.
Suzuki made 1.15 million motorcycles in China in the year ended on March 31 and sold 1 million units. Suzuki started selling motorcycles in India on its own from last year.