In 1909, Michio Suzuki (1887–1982) founded the Suzuki Loom Works in the small seacoast village of Hamamatsu, Japan . Business boomed as Suzuki built weaving looms for Japan’s giant silk industry. In 1929, Michio Suzuki invented a new type of weaving machine, which was exported overseas. The company’s first 30 years focused on the development and production of these machines.

Despite the success of his looms, Suzuki believed that his company would benefit from diversification and he began to look at other products. Based on consumer demand, he decided that building a small car would be the most practical new venture. The project began in 1937, and within two years Suzuki had completed several compact prototype cars. These first Suzuki motor vehicles were powered by a then-innovative, liquid-cooled, four-stroke, four-cylinder engine. It had a cast aluminum crankcase and gearbox and generated 13 horsepower (9.7 kW) from a displacement of less than 800cc.