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Suzuki shares crash by 15% after reports of improper fuel-testing

The Tokyo-listed stock of Suzuki Motor Corporation plunged to 2,450 yen ($22.40) in afternoon trading as investors pressed the sell button on the Japanese maker.

business Updated: May 18, 2016 13:06 IST
Suzuki,Improper fuel-testing,Maruti Suzuki
The logo for Japanese automaker Suzuki is displayed on the Suzuki Tokyo headquarters building in Tokyo on Wednesday.(AFP)

Shares of Suzuki dived 15% on Wednesday on media reports came of the Japanese automaker using improper fuel-efficiency testing methods, days after Mitsubishi admitted to have lied about fuel economy data for some models.

The Tokyo-listed stock plunged to 2,450 yen ($22.40) in afternoon trading as investors pressed the sell button on the small car maker.

Company chairperson Osamu Suzuki is going to the transport ministry to discuss the issue, a company spokesperson said, without elaborating.

He declined to comment on the reports by public broadcaster NHK and Kyodo News agency.

“The company has to make a report on its testing methods at the transport ministry,” the spokesperson said.

“Chairman Osamu Suzuki will report on that today at the ministry.”

The automaker was to hold a news briefing at 4.00 pm local time (0700 GMT) on Wednesday.

Read | Mitsubishi Motors says mileage cheating may be on all models

The transport ministry has ordered Japan’s automakers to probe their compliance with government testing methods after Mitsubishi admitted last month it manipulated data to make its cars seem more fuel efficient than they were.

Also read | How Japan’s Suzuki became India’s Maruti

First Published: May 18, 2016 12:58 IST