The TVS, Suzuki break-up is expected to pave the way for a new relationship between Bajaj Auto and the new Kawasaki-Suzuki alliance in the two-wheeler business.
The third and fourth largest two-wheeler manufacturers in Japan had last month announced a strategic alliance which includes joint development and production of two-wheelers all over the world.
Bajaj Auto has already made its intentions clear to manufacture Suzuki scooters in the country, and the request is already being considered by the Kawasaki-Suzuki committee which has been set up to finalise its India strategy. Rajiv Bajaj, president of Bajaj Auto, had told Business Standard earlier that his company was interested in looking at manufacturing Suzuki scooters.
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Bajaj has a technical collaboration with Kawasaki Heavy Industries for manufacturing motorcycles. However, it has no foreign technical collaboration for scooters.
Bajaj Auto has been looking at a city scooter with good styling in the 125 cc category for which Suzuki can make the technology available for manufacture in India. Said Bajaj: