Volkswagen – Europe’s largest automaker — is said to be considering a tie-up with Japan’s Suzuki to gain access to the automaker’s small car know how. Suzuki’s small car experience has vaulted the comparably small automaker to become the number two selling marque in Japan, trailing only Toyota.
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General Motors Corp. said Tuesday it is cutting production in Russia as demand declines in a market only recently described as potentially the largest in Europe.
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The ever-tightening credit market is one of the leading causes of crumbling new car sales, but the lack of available credit is also affecting the nation’s dealerships. Many dealerships are struggling to obtain floorplanning funds – the money used to buy inventory – and it looks as though Suzuki dealers might have a particularly tough go of it in 2009.
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