VW-Suzuki Deal Means City Car Problems For Nissan

Cammy Corrigan
by Cammy Corrigan

BusinessWeek reports that Nissan could be up a certain creek without a certain instrument. In Europe, Nissan competes in the low cost, city car segment (just below cars like the Toyota Yaris and Honda Jazz) by selling a rebadged Suzuki Alto which they call the “Nissan Pixo”. This car competes with the Toyota Aygo/Peugeot 107/Citroen C1, Fiat Panda and the Volkswagen Fox (which is curious, because the BW article says “Volkswagen Lupo” which hasn’t been sold in Europe since 2005). But since Suzuki got a German partner (insert your own Bertel Schmitt reference here), the Pixo is looking a bit left out in the cold. The burning question: would Suzuki carry on supplying Nissan with cars or would the Wolfsburg Warriors put pressure on Suzuki to say “Nein”?

“We don’t know yet whether that strategy is still good with Suzuki joining Volkswagen,” Nissan Executive Vice President Colin Dodge said in an interview. “A lot of people believe not, and we’re thinking about it.” Suzuki were even more vague as their spokesperson couldn’t reached for comment and Volkswagen had no comment to make.

This situation will need clarifying as fuel costs get driven up, climate change taxes come into play and more and more cars come on the road, the city car segment will become increasingly more important. Nissan can’t afford to ignore that market and don’t think Renault will be able to help. The cheapest regular car which Renault sell is the Renault Twingo Extreme at £9279, which is £2284 more than cheapest Nissan Pixo model. No, this is a problem which Nissan will have to figure out themselves, or, at the very least with help from partners like Dacia or Bajaj. In any case, the Pixo will have to be replaced on the cheap. After all, we wouldn’t want Nissan dragging into another loss, would we?


Cammy Corrigan
Cammy Corrigan

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  • Lostjr Lostjr on Feb 13, 2010

    In this segment, cloning seems to just be a way to move more metal. If you can have Toyota Aygo/Peugeot 107/Citroen C1 clones, why not Nissan/VW?

  • Eastcoastcar Eastcoastcar on Feb 13, 2010

    If VW would simply sell the Lupo diesel in America (which gets 78 mpg), and put up with the critics, they could capture the high mileage car market in the US and then add more models on top of that one. Whoever gets a truly cheap high mileage car to America will capture the market. VW could do it, but their VP's apparently are scared.

  • FreedMike Off topic, but folks, this site is not working well for me from a technical standpoint, and it doesn't matter if I'm using my phone, or my computer (on two different browsers). It locks up and makes it impossible to type anything in after a certain point. Anyone else having these issues?
  • Syke Kinda liked the '57, hated the '58. Then again, I hated the entire '58 GM line except for the Chevrolet. Which I liked better than the '57's. Still remember dad's '58 Impala hardtop, in the silver blue that was used as the main advertising color.
  • Dartdude The bottom line is that in the new America coming the elites don't want you and me to own cars. They are going to make building cars so expensive that the will only be for the very rich and connected. You will eat bugs and ride the bus and live in a 500sq-ft. apartment and like it. HUD wants to quit giving federal for any development for single family homes and don't be surprised that FHA aren't going to give loans for single family homes in the very near future.
  • Ravenuer The rear view of the Eldo coupe makes it look fat!
  • FreedMike This is before Cadillac styling went full scale nutty...and not particularly attractive, in my opinion.
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