Suzuki to stop selling cars in Canada after model year 2014

PanARMENIAN.Net - Suzuki Canada Inc. will no longer sell automobiles in Canada after model year 2014, following a similar move announced in the U.S. last November, according to Financial Post.

The Japanese automaker said Tuesday it would be realigning its business operations in Canada to focus instead on its motorcycle, all-terrain vehicle and marine division.

“[Suzuki has] been monitoring market conditions carefully and, after reviewing the long-term viability of automotive production for Canada, [Suzuki Motor Corp.] concluded that it was no longer feasible for it to produce automobiles for distribution and sale in the Canadian market,” the company said in a statement.

Suzuki sold nearly 5,500 vehicles in Canada last year, down three percentage points from the year before. Those declining numbers came despite overall auto sales in Canada improving nearly 6% year-over-year in 2012, according to figures from DesRosiers Automotive Consultants.

Suzuki held roughly same market share as Volvo at 0.3% of overall sales in the country in 2012, DesRosiers’ figures show.

Suzuki’s sales have, however, tumbled nearly 30% in the first two months of 2013, far outpacing the declines of the broader market at nearly 3%.

Suzuki Canada’s [SCI] decision to halt auto sales in Canada follows a similar decision last November in the U.S. after the American Suzuki Motor Corp. filed for Chapter 11 protection in the face of dwindling sales and high foreign exchange.