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US: Nissan to build Frontier-based pick-up for Suzuki at Tennessee plant

Wednesday, December 12, 2007,

Tags: Joint Ventures, Manufacturing, Nissan Motor Company, OEM Strategy, Renault, Suzuki Motor Corporation.

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Nissan North America (NNA) has confirmed that the midsized pick-up it will produce for Suzuki will be based on the Nissan Frontier.

Production of this model will commence in 2008, at NNA's Smyrna plant in Tennessee. The OEM says the facility is currently being prepared for build of the new Suzuki.

Sources speculate that the new model will be called 'Equator', with its world premiere likely to take place at the Chicago auto show on 6 February.

In mid-2006, the two OEMs announced an expansion of business collaboration, further to the existing cooperation, through which Suzuki supplies small cars to Nissan. In return, Nissan's affiliate company Jatco supplies automatic transmissions to Suzuki.

As per the expanded scope of cooperation, Nissan and Suzuki's agreement involves the following vehicles:

  • Nissan supplies a rebadged Serena minivan to Suzuki on an OEM basis, with Suzuki supplying the Nissan Pino and Moco minicars. Both products are for the Japanese market.
  • From 2008, Nissan will supply the unnamed new pick-up truck to Suzuki on an OEM basis for sale mainly in North America. Suzuki will provide a new A-segment vehicle for Nissan on an OEM basis for sale mainly in Europe.
  • Nissan and Suzuki will start manufacturing collaboration in new emerging markets by sharing their respective manufacturing facilities. This activity will start at a Suzuki plant in India.

Through this expansion in business ties, Nissan expects to enter new market segments and further expand its presence globally. Suzuki is looking for improved economies of scale in production volume, and to the expansion of its product portfolio in new segments.

NNA spokesperson Katherine Zachary says that production of this pick-up will not involve additional workers for the Suzuki line. "The production will be achieved with the current work force," The Associated Press quotes Zachary as saying in a telephone interview.

The latest generation Nissan Frontier was introduced to the US market in 2004. It is due a mid-life facelift for the 2009 model year, with the replacement model expected in 2012.

The new Suzuki will compete with the Chevy Colorado and GMC Canyon twins, Ford's Ranger, the Honda Ridgeline, Toyota Tacoma and Mazda B-Series as well as the Dodge Dakota and Mitsubishi Raider. The last of these has been built alongide the Dakota original for the Japanese OEM since 2005 but has had only limited success.

Published on Wednesday, December 12, 2007

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