Suzuki wants Volkswagen out of the picture

Posted on Thursday, 24 November 2011 , 08:11:58 byIulia

Filed under suzukivwjapaneseeuropeanallianceSuzukiJapaneseGermanEuropeanVolkswagen

Suzuki wants Volkswagen out of the picture

News comes from the Suzuki house. Apparently the carmaker decided to "force" the Volkswagen Group to sell back 19.9% of its own shares. This dispute will be taken to an international court of arbitration.
Suzuki started the process in London with the ICC International Court of Arbitration hoping to obtain what they want from the German carmaker.
The arbitration starts from Suzuki's decision to terminate its alliance with VW on November 18th and requests for the disposition of its shares to Suzuki.
All the conflict started when in one of VW's 2010 annual report, Suzuki was described as an "associate". The story does not end here. The German carmaker accused Suzuki of violating their agreement by purchasing diesel engines from the Fiat Group.
Until now, VW made no declarations, but after the Japanese company decided to terminate the agreement, they declared that they will not let go of the shares as there is no legal foundation that could make them surrender.