Suzuki CEO Toshihiro Suzuki: “EVs are really not the only solution”
The right solutions in the right place
“We are investing not only in battery-electric cars, but also in hybrids and cars with internal combustion engines that run on fuels such as CNG, biofuel and ethanol. So we will provide the right solutions in the right places,” Toshihiro Suzuki stated.
Watching the cat out of the tree
When it comes to electric cars, Suzuki has been watching the cat out of the tree for the past few years. “Still, I don’t think we are late with an EV. Our strength is in compact cars. Competitors all started with big heavy electric cars. That’s not where our strength lies. With compact cars, the business models are totally different. We needed time to come up with a good business case.”
The right solution according to Toshihiro Suzuki
Toshihiro explains further: “Our combustion engine models are now very efficient. You get 600 kilometers with ease. When you introduce an EV, weight is always an issue. The cost also increases. So if you put a battery in a compact car, that has a big impact on competitiveness. You have to think carefully about a compact EV. It is also important to think about our customers. Affordability is an important factor. For us, a range of up to 500 kilometers is not important. For us, 300 kilometers is acceptable. We also expect the customer to think carefully about using an EV. As far as we are concerned, short distances are driven in electric cars. For longer distances, there are other solutions.”
Multi-path solution
Suzuki is opting for a so-called multi-path solution, as so many manufacturers are doing. “We are also betting on hybrids, plug-in hybrids, biogas, biofuels and hydrogen technology. We do this because the future is difficult to predict. There are areas of EVs being popular, but in many more not yet. We are looking at what powertrains we are deploying for each region.”
Developments in China are also influencing plans at Suzuki. “It’s unprecedented on what scale China knows how to make affordable EVs. So that makes it extra difficult for us. I think customers are still wondering how to use a BEV in everyday driving. So Suzuki also has to think about what is best for customers and support the customer in that.”
Other electric Suzuki models
Suzuki had previously announced that five BEVs are in the pipeline for 2030. The only question is whether they will all come, now that BEV sales are down. Fortunately, Suzuki can cut costs with Toyota and Daihatsu. The three brands have jointly developed an EV platform. The Suzuki e Vitara is Suzuki’s first car to be built on that platform. The next electric Suzuki is expected to be a Swift-sized model.
Topsecret!
We ask Takahiko Hashimoto, managing officer BEV Solutions, about a Suzuki e Swift. Hashimoto-san starts laughing incredibly hard at that. “Good question, that’s top secret.”
Survival
And an electric Suzuki Jimny? Suzuki’s CEO Toshihiro says, “With a heavy battery, you take away the Jimny’s best feature. In fact, the core strength of the model is that the weight of the Jimny is perfect. If we want to continue to carry the Jimny, then hybrid technology and biofuels might be the better solution instead of BEV. Again, we are guided by what the e Vitara will achieve. We are closely following BEV developments. We do stick to the investment of 30 billion euros in battery-electric cars, even if the demand is now declining a bit. Behind the scenes, we continue to develop at a fast pace so that we are ready to respond to the market at the right time. The developments of other powertrains are going on in parallel. To survive, we have to do this.”