German automaker Volkswagen has announced its intent to dissolve its almost two-year-old partnership and cross-shareholding agreement with Suzuki Motor Corporation (SMC) accusing it in breaking some provisions of the alliance.

As per the representatives of German corporation 2009 agreement was broken by Suzuki continuing to use Fiat engines on the side in Hungary in assembling line acting contrary to the agreement by that.

The Japanese representatives state in their turn they haven’t broken any terms of the agreement and that the mutual cooperation with German automaker haven’t brought any revenue, moreover it jeopardized the independence of the company itself.

After such an announcement Suzuki chairman has decided to end up the pact with Volkswagen.  The result of Suzuki SX4 with Fiat engines might be 19.9 percent stake purchased by a German automaker for 2,3 billion dollars. The point is that Volkswagen AG is not intending to give back the stock.