Isuzu Motors make alliance with GM to seek new Southeast Asian markets
The Yomiuri Shimbun/Asia News Network
January 15, 2013, 12:19 am TWN
The planned alliance between Isuzu Motors Ltd. and General Motors Co. to jointly develop pickup trucks is aimed at strengthening sales in newly emerging markets in Southeast Asia and other areas.
Isuzu is aiming to restart business tie-up talks with GM after a seven-year interval to compete against such automakers as Germany's Daimler AG and Volkswagen AG.
Isuzu and GM forged a capital and business partnership in 1971 that lasted more than 30 years. In 1999, GM increased its stake in Isuzu to 49 percent.
However, under troubling financial conditions, GM sold its stake in Isuzu in 2006 and broke off their capital alliance.
It was believed the companies' relationship has cooled since then, as Isuzu started negotiations with Volkswagen over a tie-up and ended its consignment of its pickup truck production in Thailand to GM.