UPDATE 1-Suzuki to use Fiat engines for new car from 2013

Mon Jun 27, 2011 1:04pm EDT

* Fiat engines to equip new Suzuki car made in Hungary

* 1.6 litre diesel engine to be manufactured in Italy

* New 1.6 MultiJet to replace 2.0 MultiJet on Suzuki platform

(Adds details from Fiat statement)

MILAN/TOKYO, June 27 (Reuters) - Suzuki Motor Corp said on Monday it had agreed to buy 1.6-litre diesel engines from Fiat's powertrain unit to put on a car it will build in Hungary from 2013.

The Japanese automaker has been buying 2.0-litre diesel engines from Fiat Powertrain Technologies since 2006 for the SX4 made in Hungary. Suzuki also produces 1.3-litre diesel engines under licence from Fiat Powertrain Technologies in India.

The 1.6-litre MultiJet II engine will replace, on Suzuki's future SX4 platform, the 2.0-litre Fiat Powertrain engine, the Turin-based carmaker said in a separate statement on Monday.

The engine will be made by Fiat at its Pratola Serra plant near Avellino, southern Italy, and delivered to Suzuki's plant in Hungary.

The co-operation between Fiat and Suzuki includes the licence of a 1.3-litre small diesel engine, currently made by Suzuki's sister company in India, Fiat said.

(Reporting by Chang-Ran Kim and Michel Rose; Editing by David Hulmes)