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A-Star made in India

The environmentally friendly Suzuki A-Star concept will go into production in two to three years.

In a move that shows the strengthening position of the Indian car market in the world, Suzuki will unveil its A-Star Concept at the Auto Expo in New Delhi next month and build the production version on the sub-continent.

The five-door hatchback concept will form the basis of its next global production car and Queensland Suzuki importers think it would do well here.

Suzuki Auto Co general manager Keith Carroll said the A-Star would go into production in two to three years.

“It will get a name in the next 12 months and we'd love to have it here,” he said.

The concept car is powered by a Euro 5-compliant 1-litre aluminium petrol engine with CO2 emissions less than 109g/km. Suzuki Powertrain India produces a 1.3-litre diesel engine, but Suzuki does not plan to use it in the new production car since the new 1-litre petrol engine is environmentally superior.

The hatch was developed jointly by Swift designers Maruti Suzuki with Suzuki Motor Corporation in India. Like the slightly bigger Swift; our 2005 Carsguide Car of the Year, it has a distinct European design.

The global compact production car will be manufactured in Maruti Suzuki's plant in Manesar near Delhi.

Suzuki Motor Corporation invested in India 25 years ago and now has 56 per cent of the market, selling 750,000 cars a year in the country of 1.2 billion people.

Maruti is spending $2.2 billion over the next five years in a new car plant to start production next October, a diesel engine manufacturing unit, a new engine series and new models.

Suzuki is also planning to build a car plant in Rayong Province in Thailand, which has a free-trade agreement with Australia.

Carroll said the plant would build cars for domestic use, but eventually he expected it would export cars to Australia. With no duty on Thai products, he said he would expect Suzuki cars made in Thailand to be excellent value. Other companies such as Honda export cars to Australia from Thailand.

Meanwhile, Suzuki will kick off 2008 with a diesel-powered Grand Vitara SUV.

It will be only the third diesel in the competitive compact SUV class, after the launch this year of diesel versions of the Kia Sportage and Jeep Patriot and Compass.

Powered by a Renault 1.9-litre common-rail turbo engine, it will be married to a five-speed manual gearbox only.

The Grand Vitara will receive a “minor” update in June, powered by a choice of 2.4-litre four-cylinder and 3.2-litre V6 petrol engines.