GM, Japan's Isuzu in talks on truck tie-up
AFPTOKYO -- Japan's Isuzu Motors said Thursday it was in discussions with U.S. giant General Motors on developing next-generation pickup trucks as a report said the two were in talks over a possible tie-up.
January 11, 2013, 12:54 am TWN
The firms have signed an agreement “on launching talks” to develop the trucks and “will make an announcement at the appropriate time,” Isuzu said in a statement without releasing any more details.
The announcement came after Japan's leading Nikkei business daily said the pair would likely reach an agreement later this month on a joint venture.
Under the reported deal, GM will start procuring about 100,000 engines for pickups from Isuzu, while looking to a possible investment in the Japanese firm.
In 2006, GM sold its long-standing minority stake in Isuzu — most of which was bought by Toyota — to generate cash as the ailing U.S. automaker was undergoing a massive restructuring.