Toyota-Suzuki alliance and what to expect out of it?

Toyota-Suzuki alliance
Toyota motor corporation and Suzuki motor corporation started an alliance in 2016 and signed an agreement in 2019. The alliance promotes long term co-operation in new fields, including electric vehicles and autonomous driving. According to the agreement Toyota will acquire 4.94% stake in Suzuki, At the same time Suzuki will buy a smaller stake of 0.21% in Toyota.
Technology exchange
In India, Toyota was supposed to share the Hybrid electric vehicle (HEV) technology with Maruti Suzuki. Maruti Suzuki on the other hand was supposed to share two compact vehicles followed by Ertiga and Ciaz. Toyota and Suzuki are about to develop a C-segment MPV in India with Suzuki’s expertise.

What is in it for Toyota?

Brands market shares
The deal might be on an international level but it targets only India. Maruti Suzuki has a massive 46% market share in India, Toyota is far behind with less than 5% share. Toyota hopes to learn from Maruti Suzuki how to engineer cost effective and entry level vehicles in growing markets like India. 

Toyota Glanza

Toyota glanza
The Glanza is a rebadged Baleno, When it comes to design Toyota has just tweaked the front grill, front bumpers and changed the logo. In the interior it is only the steering wheel that has been changed.

Engine and Warranty

1.2-liter k-series petrol
The Toyota Glanza is the same used in Maruti Suzuki Baleno. The engine offered is a 1.2-liter petrol engine that makes 81 bhp that is mated with a 5-speed manual or optional CVT. The G trim makes 88 bhp along with a smart hybrid option that is also available in Baleno. Warranty is what makes the difference, Maruti Suzuki offers 2year/ 40,000 Km warranty whereas Toyota is offering 1 year/1 lakh Km warranty.

Prices

Glanza and Baleno Prices
The prices are also not very different from the Baleno. Toyota decided to eliminate some base variants that Maruti has to offer.   If you look at closely the smart hybrid variant is what makes the difference in the price, G smart hybrid is priced at  ₹7.55L  but the equivalent  Dualjet Zeta is priced at ₹7.96L.

Toyota Urban Cruiser

Toyota Urban cruiser
The Urban Cruiser is not any different from Vitara Brezza. The design is just a tweak to the front grill that makes it look like the mini Fortuner. There are no other changes in the interior except the steering wheel.

Engine and Warranty

1.5 liter k-series engine
It gets the same K-series 1.5-liter 4-cylinder petrol engine that is used in the Vitara Brezza. It makes 103bhp and 138Nm torque that can be mated with a 5-speed manual, 4-speed torque converted gearbox or 5-speed AMT. Just like Glanza the Urban cruiser is also ahead in terms of warranty, Maruti offers 2 years/30,000km while Toyota offers 3years/ 1 lakh Km warranty.

Prices

Vitara Brezza and Urban Cruiser prices
The Urban cruiser is also priced in the same range as that of the Vitara Brezza. The top variant, Premium AT is priced ₹10,000 less than the top variant of Vitara Brezza. 
sales figures
It is clear that there are no major differences in the mechanics or features of both the vehicles. Toyota still has to maintain its reliability by offering better warranty and also wants to penetrate the entry level vehicles. Maruti Suzuki on the other hand has well established service centers all over India and also the after sales service is much less compared to Toyota. The sales figures were expected, however the question is ” what sales figures Toyota would have achieved if it had released one of its own fleet such as RAV4?”

Image Credits:
Toyota
Maruti Suzuki
references:
Toyota Global

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