Saturday, October 07, 2006

Cost cutting in focus at Paris Motor Show

Cost cutting is the big concern of the global auto industry. And India's cost management prowess is luring more than one global giant.

Audi plans an India sourcing office by the end of the year and the company is even talking about an assembly plant in India in the very short term.

But no stall is more relevant for India than the Suzuki stall at the Paris Motor Show. And Suzuki doesn't disappoint.

A new compact car caught one's attention, Concept Splash, a super mini Multi-Purpose Vehicle which is set to replace the Wagon R in most overseas markets late next year.

The Splash is a five-seater and shares a platform with the new Swift. With an approximate entry price tag of about 9000 Euro or roughly Rs 5 lakh 20 thousand, the obvious question is, when is Suzuki bringing this car to India?

Once the Splash hits production, it is likely to be made in India too. In fact, this could well be the car that Maruti makes for export to Europe.

There's no clarity yet on whether Suzuki and Nissan will share the Splash with Nissan branding for European exports and Suzuki branding for sales in India, as well as its own exports.

Suzuki thinks it could be a possibility. But clarity will emerge in a month from now when Suzuki and Nissan thrash out the details of their alliance in India.

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