China Prepares for Party Congress and Leadership Transition


Diego Azubel/European Pressphoto Agency


Soldiers marched past the Great Hall of the People in Beijing on Wednesday, on the eve of the 18th Communist Party Congress.







BEIJING — China’s Communist Party leader, Hu Jintao, defended his decade in power on Thursday and warned that the country faced stark challenges at home and abroad. He spoke at the start of a congress that will culminate in his retirement and the appointment of a new generation of leaders after a transition marked by scandal and anxiety about the party’s future.




Mr. Hu told the ranks of party-picked delegates assembled in the Great Hall of the People that China faced a period of major change and “complicated domestic and international circumstances.” Seated near him was his presumed successor, Xi Jinping, who is all but certain to take over as party chief after the congress ends next week and to take the reins as president in March.


Mr. Xi has privately signaled that he is aware of increasingly urgent calls from economists, intellectuals and some party insiders for a new round of market liberalization and even measured political relaxation to cure what they see as a deepening economic and social malaise. Mr. Hu acknowledged the problems facing the party, including corruption, but avoided specific mention of the scandals that have blighted his final year in power.


“Currently, the conditions of the world, the country and the party are continuing to undergo profound changes,” he said, reading from excerpts from his report to the party congress, which convenes every five years.


“We are confronting unprecedented development opportunities and challenges,” he said, adding, “The gap between rich and poor is growing.”


While acknowledging that China’s wealth remains unbalanced among regions and unequally distributed, Mr. Hu told the congress that his decade as top leader had brought robust economic growth and the makings of a “moderately prosperous society.”


“Over the past five years, there have been major achievements in every aspect of work,” he said. “Reform and opening up have gained major advances, and the people’s standard of living has clearly risen.”


Mr. Hu’s congress report is a major part of the public ceremony that accompanies China’s leadership transitions. But the real decisions about who will succeed him and his cohorts have been made in secretive negotiations involving senior officials and party elders.


In a show of unity, Mr. Hu earlier entered the assembly hall accompanied by the dominant party elder, former President Jiang Zemin, who shuffled gingerly to his seat. But party insiders have said Mr. Jiang, 86, played a major role in shaping the next leadership circle and voiced frustration with the record of Mr. Hu and Prime Minister Wen Jiabao.


Contrary to some observers’ predictions, Mr. Hu did not play down the founder of the People’s Republic of China, Mao Zedong, whose revolutionary heritage sits increasingly awkwardly with urban middle-class wealth and values. Mr. Hu also repeatedly mentioned the phrases “scientific development” and a “harmonious society,” which he has used to sum up his goals of a stable society under firm party control.


Officially, the new leadership team is to be selected in the coming week by the 2,268 delegates to this congress, the 18th in the party’s 91-year history. In fact, much of what will go on during the congress has already been decided. The delegates are voted on by lower-ranking members but based on guidance provided by higher-ups, a process known as “democratic centralism.”


Mr. Hu repeated vows of “political system reform” in his report to the congress. But officials have made clear that the party’s notions of political change do not embrace any idea of full-fledged electoral democracy.


On the contrary, at a news conference on Wednesday, the congress’s spokesman and deputy head of Communist Party propaganda, Cai Mingzhao, defended China’s current system.


“The leading position of the Communist Party in China is a decision made by history and by the people,” Mr. Cai said.


Still uncertain is who will be standing next to Mr. Xi when the top leadership is presented in a week. This group, known as the Politburo’s Standing Committee, essentially runs China. According to plan, it will include Mr. Xi and Li Keqiang, who is expected to take over as head of the government bureaucracy next year. Both men are current members of the Standing Committee.


It is also unclear how many members the committee will have. It now has nine posts and is expected to be cut to seven.


Nor has Mr. Hu indicated when he will give up his post as chairman of the Central Military Commission, which gives him continued influence over Mr. Xi’s policies and personnel choices.


In his report, Mr. Hu lauded China’s growing military strength, promising to continue modernizing the People’s Liberation Army forces, and calling them a defender of peace, a point sure to be questioned by regional neighbors, including Japan, that are embroiled in territorial disputes with Beijing.


Mr. Cai, the spokesman, also said the party had learned from the scandals surrounding two high-ranking officials: Bo Xilai, the former Politburo member, and Liu Zhijun, the former railway minister. Both have been accused of corruption, and Mr. Bo is also accused of covering up the murder of a British businessman. Mr. Hu did not refer explicitly to Mr. Bo in his report, but said corrupt officials should be punished “no matter how high or low in rank.”


This article has been revised to reflect the following correction:

Correction: November 7, 2012

An earlier version of this article gave an incorrect number for the delegates to China’s 18th Communist Party Congress. There are 2,268 delegates, not 2,280.



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Siemens to sharpen its game with 6 billion euros of savings

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Walt Weiss hired as Colorado Rockies manager

DENVER (AP) — Walt Weiss is making the rare jump from the high school dugout to the big leagues.

The Colorado Rockies hired the former major league shortstop Wednesday night to replace manager Jim Tracy, who resigned Oct. 7 with one year and $1.4 million left on his contract rather than return to a club where its assistant general manager had moved into an office in the clubhouse.

The 1988 AL Rookie of the Year with Oakland, Weiss played shortstop for the Rockies from 1994-97 and was a special assistant to general manager Dan O'Dowd from 2002-08.

He left to spend more time with his family and last season coached Regis Jesuit High School outside Denver, in Aurora, to a 20-6 record and the 5A semifinals of the state championship. Weiss' son, Brody, is in his senior year at the school.

The Rockies made the announcement after owner Dick Monfort and top officials deliberated at the general managers' meetings in Indian Wells, Calif. — held at a hotel Monfort owns, the Hyatt Regency Indian Wells Resort & Spa.

Weiss didn't return a phone message and e-mail from The Associated Press. A team spokesman said Weiss would be introduced at a news conference Friday at Coors Field.

"It was a lot of different things," general manager Dan O'Dowd said before suggesting senior vice president of major league operations Bill Geivett speak about Weiss' hiring. Geivett didn't immediately return phone messages.

Weiss and Arizona coach Matt Williams were the finalists to replace Tracy, who quit following the worst season in franchise history. Rockies bench coach Tom Runnells and first baseman Jason Giambi also interviewed, with Giambi saying he would retire as a player if he got the job.

The 48-year-old Weiss spent parts of 14 seasons in the major leagues, also playing for Oakland (1987-92), Florida (1993) and Atlanta (1998-2000). A .258 career hitter, he was an All-Star in the 1998 game at Denver's Coors Field.

Colorado had more familiarity with Weiss than with Williams.

"He would take trips in the minor leagues. He was always around with the major league club at home, as well," Geivett said earlier Wednesday. "I know Walt pretty well."

Williams, a five-time All-Star third baseman, has been Arizona's third base coach the last two seasons after a year coaching first base. Before that, he was a Diamondbacks' broadcaster for five years.

"I played against him in college when he was at UNLV," Geivett said. "No real personal contact."

Weiss is just the sixth manager for the Rockies, following Don Baylor (1993-98), Jim Leyland (1999), Buddy Bell (2000-02), Clint Hurdle (2002-09) and Tracy (2009-12).

Colorado went 64-98 last season under Tracy, who was promoted from bench coach to manager in May 2009 and was voted the NL Manager of the Year after guiding Colorado into the playoffs that season.

The Rockies started strong in 2010 but faded at the finish and they ended up going 294-308 under Tracy, who also had worked with Geivett in Montreal and Los Angeles.

Energized by the young players and the challenge of fixing things, Tracy said repeatedly toward the end of last season that he wanted to fulfill the final year on his contract in 2013. But he changed his mind after meeting with Geivett following the team's last-place finish in the NL West.

Things changed dramatically for Tracy on Aug. 1 when Geivett, the assistant general manager, was given an office in the clubhouse and began focusing on roster management, particularly as it related to the pitchers, and evaluating the coaching staff and the rest of the players. Tracy's responsibilities were narrowed to game management and meeting with the media.

"I thought we worked together fine," Geivett said after Tracy's surprise resignation last month.

Geivett had said that structure will remain in place next season but he didn't think that would be an issue in his search for a new manager.

In addition to altering their front office, with O'Dowd focusing his attention on the minor leagues and player development, the Rockies last summer reacted to Coors Field playing like its pre-humidor days by adopting a radical four-man rotation and a 75-pitch limit with several designated piggyback relievers, a much-derided experiment that lasted two months.

Geivett has said the Rockies will return to a traditional five-man rotation next season with pitch limits determined on a case-by-case basis.

Tracy was given an indefinite contract extension last spring but it guaranteed only his 2013 salary of $1.4 million as field manager and really just represented the club's desire to keep him in the organization in some capacity.

___

AP Sports Writers Ronald Blum, in Indian Wells, Calif., and Pat Graham contributed.

___

Follow AP Sports Writer Arnie Melendrez Stapleton on Twitter: http://twitter.com/arniestapleton

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Recipes for Health: Cabbage, Onion and Millet Kugel — Recipes for Health


Andrew Scrivani for The New York Times







Light, nutty millet combines beautifully with the sweet, tender cabbage and onions in this kugel. I wouldn’t hesitate to serve this as a main dish.




 


1/2 medium head cabbage (1 1/2 pounds), cored and cut in thin strips


Salt to taste


2 tablespoons extra virgin olive oil


1 medium onion, finely chopped


1/4 cup chopped fresh dill


Freshly ground pepper


1 cup low-fat cottage cheese


2 eggs


2 cups cooked millet


 


1. Preheat the oven to 375 degrees. Oil a 2-quart baking dish. Toss the cabbage with salt to taste and let it sit for 10 minutes.


2. Meanwhile, heat 1 tablespoon of the oil over medium heat in a large, heavy skillet and add the onion. Cook, stirring, until it begins to soften, about 3 minutes, then add a generous pinch of salt and turn the heat to medium-low. Cook, stirring often, until the onion is soft and beginning to color, about 10 minutes. Add the cabbage, turn the heat to medium, and cook, stirring often, until the cabbage is quite tender and fragrant, 10 to 15 minutes. Stir in the dill, taste and adjust salt, and add pepper to taste. Transfer to a large bowl.


3. In a food processor fitted with the steel blade, purée the cottage cheese until smooth. Add the eggs and process until the mixture is smooth. Add salt (I suggest about 1/2 teaspoon) and pepper and mix together. Scrape into the bowl with the cabbage. Add the millet and stir everything together. Scrape into the oiled baking dish. Drizzle the remaining oil over the top and place in the oven.


4. Bake for about 40 minutes, until the sides are nicely browned and the top is beginning to color. Remove from the oven and allow to cool for at least 15 minutes before serving. Serve warm or at room temperature, cut into squares or wedges.


Yield: 6 servings.


Advance preparation: The cooked millet will keep in the refrigerator for 3 to 4 days and freezes well. The kugel will keep for 3 days in the refrigerator. Reheat in a medium oven.


Nutritional information per serving (6 servings): 195 calories; 7 grams fat; 1 gram saturated fat; 1 gram polyunsaturated fat; 4 grams monounsaturated fat; 64 milligrams cholesterol; 23 grams carbohydrates; 4 grams dietary fiber; 148 milligrams sodium (does not include salt to taste); 10 grams protein


Martha Rose Shulman is the author of “The Very Best of Recipes for Health.”


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DealBook: On Wall Street, Time to Mend Fences With Obama

Del Frisco’s, an expensive steakhouse with floor-to-ceiling windows overlooking the Boston harbor, was a festive scene on Tuesday evening. The hedge fund billionaires Steven A. Cohen, Paul Singer and Daniel Loeb were among the titans of finance there dining among the gray velvet banquettes before heading several blocks away to what they hoped would be a victory party for their presidential candidate, Mitt Romney.

The next morning was a cold, sobering one for these executives.

Few industries have made such a one-sided bet as Wall Street did in opposing President Obama and supporting his Republican rival. The top five sources of contributions to Mr. Romney, a former top private equity executive, were big banks like Goldman Sachs and JPMorgan Chase, according to the Center for Responsive Politics. Wealthy financiers — led by hedge fund investors — were the biggest group of givers to the main “super PAC” backing Mr. Romney, providing almost $33 million, and gave generously to outside groups in races around the country.

On Wednesday, Mr. Loeb, who had supported Mr. Obama in 2008, was sanguine. “You win some, you lose some,” he said in an interview. “We can all disagree. I have friends and we have spirited discussions. Sure, I am not getting invited to the White House anytime soon, but as citizens of the country we are all friendly.”

Wall Street, however, now has to come to terms with an administration it has vilified. What Washington does next will be critically important for the industry, as regulatory agencies work to put their final stamp on financial regulations and as tax increases and spending cuts are set to take effect in the new year unless a deal to avert them is reached. To not have a friend in the White House at this time is one thing, but to have an enemy is quite another.

“Wall Street is now going to have to figure out how to make this relationship work,” said Glenn Schorr, an analyst who follows the big banks for the investment bank Nomura. “It’s not impossible, but it’s not the starting point they had hoped for.”

Traditionally, the financial industry has tended to support Republican candidates, but, being pragmatic about power, has also donated to Democrats. That script got a rewrite in 2008, when many on Wall Street supported Mr. Obama as an intelligent leader for a country reeling from the financial crisis. Goldman employees were the leading source of campaign donations for Mr. Obama, who reaped far more contributions — roughly $16 million — from Wall Street than did his opponent, John McCain.

The love affair between Wall Street and Mr. Obama soured soon after he took office and championed an overhaul in financial regulations that became the Dodd-Frank Act.

Some financial executives complained that in meetings with the president, they found him disinterested and disengaged, while others on Wall Street never forgave Mr. Obama for calling them “fat cats.”

The disillusionment with the president spawned reams of critical commentary from Wall Street executives.

“So long as our leaders tell us that we must trust them to regulate and redistribute our way back to prosperity, we will not break out of this economic quagmire,” Mr. Loeb wrote in one letter to his investors.

The rhetoric at times became extreme, like the time Steven A. Schwarzman, co-founder of the private equity firm Blackstone Group, compared a tax proposal to “when Hitler invaded Poland in 1939.” (Mr. Schwarzman later apologized for the remark.)

Mr. Loeb was not alone in switching allegiances in the recent presidential race. Hedge fund executives like Leon Cooperman who had supported Mr. Obama in 2008 were big backers of Mr. Romney in 2012. And Wall Street chieftains like Jamie Dimon of JPMorgan Chase and Lloyd C. Blankfein of Goldman Sachs, who have publicly been Democrats in the past, kept a low profile during this election. But their firms’ employees gave money to Mr. Romney in waves.

Starting over with the Obama White House will not be easy. One senior Wall Street lawyer who spoke on condition of anonymity said Wall Street “made a bad mistake” in pushing so hard for Mr. Romney. “They are going to pay a price,” he said. “It will soften over time, but there will be a price.”

Mr. Obama is not without supporters on Wall Street. Prominent executives like Hamilton James of Blackstone, and Robert Wolf, a former top banker at UBS, were in Chicago on Tuesday night, celebrating with the president.

“What we learned is the people on Wall Street have one vote just like everyone else,” Mr. Wolf said. Still, while the support Wall Street gave Mr. Romney is undeniable, Mr. Wolf said, “Mr. Obama wants a healthy private sector, and that includes Wall Street.

“If you look at fiscal reform, infrastructure, immigration and education, they are all bipartisan issues and are more aligned than some people make it seem.”

Reshma Saujani, a former hedge fund lawyer who was among Mr. Obama’s top bundlers this year and is planning to run for city office next year, agreed.

“Most people in the financial services sector are social liberals who support gay marriage and believe in a woman’s right to choose, so I think many of them will swing back to Democrats in the future,” she said.


This post has been revised to reflect the following correction:

Correction: November 8, 2012

An earlier version of this article misidentified Reshma Saujani as a male.

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Obama Wins New Term as Electoral Advantage Holds


Damon Winter/The New York Times


Americans voted to give President Obama a second chance to change Washington.







Barack Hussein Obama was re-elected president of the United States on Tuesday, overcoming powerful economic headwinds, a lock-step resistance to his agenda by Republicans in Congress and an unprecedented torrent of advertising as a divided nation voted to give him more time.




In defeating Mitt Romney, the president carried Colorado, Iowa, Ohio, New Hampshire, Virginia and Wisconsin, a near sweep of the battleground states, and was holding a narrow advantage in Florida. The path to victory for Mr. Romney narrowed as the night wore along, with Mr. Obama winning at least 303 electoral votes.


A cheer of jubilation sounded at the Obama campaign headquarters in Chicago when the television networks began projecting him as the winner at 11:20 p.m., even as the ballots were still being counted in many states where voters had waited in line well into the night. The victory was far narrower than his historic election four years ago, but it was no less dramatic.


“Tonight in this election, you, the American people, reminded us that while our road has been hard, while our journey has been long, we have picked ourselves up, we have fought our way back,” Mr. Obama told his supporters early Wednesday. “We know in our hearts that for the United States of America, the best is yet to come.”


Mr. Obama’s re-election extended his place in history, carrying the tenure of the nation’s first black president into a second term. His path followed a pattern that has been an arc to his political career: faltering when he seemed to be at his strongest — the period before his first debate with Mr. Romney — before he redoubled his efforts to lift himself and his supporters to victory.


The evening was not without the drama that has come to mark so many recent elections: For more than 90 minutes after the networks projected Mr. Obama as the winner, Mr. Romney held off calling him to concede. And as the president waited to declare victory in Chicago, Mr. Romney’s aides were prepared to head to the airport, suitcases packed, potentially to contest several close results.


But as it became increasingly clear that no amount of contesting would bring him victory, he called Mr. Obama to concede shortly before 1 a.m.


“I wish all of them well, but particularly the president, the first lady and their daughters,” Mr. Romney told his supporters in Boston. “This is a time of great challenges for America, and I pray that the president will be successful in guiding our nation.”


Hispanics made up an important part of Mr. Obama’s winning coalition, preliminary exit poll data showed. And before the night was through, there were already recriminations from Republican moderates who said Mr. Romney had gone too far during the primaries in his statements against those here illegally, including his promise that his get-tough policies would cause some to “self-deport.”


Mr. Obama, 51, faces governing in a deeply divided country and a partisan-rich capital, where Republicans retained their majority in the House and Democrats kept their control of the Senate. His re-election offers him a second chance that will quickly be tested, given the rapidly escalating fiscal showdown.


For Mr. Obama, the result brings a ratification of his sweeping health care act, which Mr. Romney had vowed to repeal. The law will now continue on course toward nearly full implementation in 2014, promising to change significantly the way medical services are administrated nationwide.


Confident that the economy is finally on a true path toward stability, Mr. Obama and his aides have hinted that he would seek to tackle some of the grand but unrealized promises of his first campaign, including the sort of immigration overhaul that has eluded presidents of both parties for decades.


But he will be venturing back into a Congressional environment similar to that of his first term, with the Senate under the control of Democrats and the House under the control of Republicans, whose leaders have hinted that they will be no less likely to challenge him than they were during the last four years.


Michael Cooper contributed reporting.



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Exclusive - Amazon to win EU e-book pricing tussle with Apple

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Loomis returns to Saints in unsettled times

METAIRIE, La. (AP) — Having served his eight-game suspension in connection with the NFL's bounty probe of the New Orleans Saints, general manager Mickey Loomis has returned to work at team headquarters in time to deal with a variety of unsettled personnel issues and off-the-field distractions.

His immediate tasks include clearing up the status of Payton's five-year contract extension, which NFL Commissioner Roger Goodell has so far refused to approve since the coach signed it in 2011.

Loomis also will have to oversee contingency plans in the event defensive end Will Smith and linebacker Jonathan Vilma have to serve their own bounty suspensions, which so far have been delayed.

The club has not made Loomis available to media yet, but assistant head coach Joe Vitt says the Saints are glad he's back.

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Alarm Over India’s Dengue Fever Epidemic


Enrico Fabian for The New York Times


A man at the Yamuna River, an ideal breeding ground for mosquitoes. Filthy standing water abounds in New Delhi. More Photos »







NEW DELHI — An epidemic of dengue fever in India is fostering a growing sense of alarm even as government officials here have publicly refused to acknowledge the scope of a problem that experts say is threatening hundreds of millions of people, not just in India but around the world.




India has become the focal point for a mosquito-borne plague that is sweeping the globe. Reported in just a handful of countries in the 1950s, dengue (pronounced DEN-gay) is now endemic in half the world’s nations.


“The global dengue problem is far worse than most people know, and it keeps getting worse,” said Dr. Raman Velayudhan, the World Health Organization’s lead dengue coordinator.


The tropical disease, though life-threatening for a tiny fraction of those infected, can be extremely painful. Growing numbers of Western tourists are returning from warm-weather vacations with the disease, which has reached the shores of the United States and Europe. Last month, health officials in Miami announced a case of locally acquired dengue infection.


Here in India’s capital, where areas of standing water contribute to the epidemic’s growth, hospitals are overrun and feverish patients are sharing beds and languishing in hallways. At Kalawati Saran Hospital, a pediatric facility, a large crowd of relatives lay on mats and blankets under the shade of a huge banyan tree outside the hospital entrance recently.


Among them was Neelam, who said her two grandchildren were deathly ill inside. Eight-year-old Sneha got the disease first, followed by Tanya, 7, she said. The girls’ parents treated them at home but then Sneha’s temperature rose to 104 degrees, a rash spread across her legs and shoulders, and her pain grew unbearable.


“Sneha has been given five liters of blood,” said Neelam, who has one name. “It is terrible.”


Officials say that 30,002 people in India had been sickened with dengue fever through October, a 59 percent jump from the 18,860 recorded for all of 2011. But the real number of Indians who get dengue fever annually is in the millions, several experts said.


“I’d conservatively estimate that there are 37 million dengue infections occurring every year in India, and maybe 227,500 hospitalizations,” said Dr. Scott Halstead, a tropical disease expert focused on dengue research.


A senior Indian government health official, who agreed to speak about the matter only on the condition of anonymity, acknowledged that official figures represent a mere sliver of dengue’s actual toll. The government only counts cases of dengue that come from public hospitals and that have been confirmed by laboratories, the official said. Such a census, “which was deliberated at the highest levels,” is a small subset that is nonetheless informative and comparable from one year to the next, he said.


“There is no denying that the actual number of cases would be much, much higher,” the official said. “Our interest has not been to arrive at an exact figure.”


The problem with that policy, said Dr. Manish Kakkar, a specialist at the Public Health Foundation of India, is that India’s “massive underreporting of cases” has contributed to the disease’s spread. Experts from around the world said that India’s failure to construct an adequate dengue surveillance system has impeded awareness of the illness’s vast reach, discouraged efforts to clean up the sources of the disease and slowed the search for a vaccine.


“When you look at the number of reported cases India has, it’s a joke,” said Dr. Harold S. Margolis, chief of the dengue branch at the Centers for Disease Control and Prevention in Atlanta.


Neighboring Sri Lanka, for instance, reported nearly three times as many dengue cases as India through August, according to the World Health Organization, even though India’s population is 60 times larger.


Hari Kumar contributed reporting.



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Suzuki, Small-Car Maker, Gives Up on U.S. Market





TOKYO — For all of Suzuki’s tough talk about its “brush-busting” Samurai off-roader, the Japanese automaker never made it big in the United States. Its cars were too small, its safety record iffy and its branding a bit too comical (Suzuki Sidekick, anyone?).




So it came as little surprise to most analysts when Suzuki announced late Monday that it would stop selling automobiles in the United States and put its American unit into Chapter 11 bankruptcy.


“The United States was ultimately a tough market to crack,” said Kentaro Arita, auto analyst and industry research division manager at Mizuho Corporate Bank. “Its exit was a matter of time.”


Still, despite Suzuki’s retreat in North America, the company has made spectacular inroads into emerging markets over the last decade. The low-cost, compact cars sold by Suzuki’s India unit have the top share in that fast-growing market, and the automaker also has a growing presence in Southeast Asia.


Back home in Japan, Suzuki is a leader in a category of small cars called kei vehicles that enjoy preferential tax treatment by meeting limits on length, width, engine size and horsepower. The kei category, created in Japan’s lean postwar years to help ordinary Japanese buy cars, has stayed popular as a cheap option fit for navigating the country’s claustrophobic roads.


One of the company’s kei cars, the long-selling Wagon R, is less than 14 feet long, about 5 feet wide and 6 feet high, and its engine size is limited to two-thirds of a liter, or motorcycle-caliber. Last month, almost as many units were sold in Japan as Toyota’s Prius hybrid.


Suzuki’s decision to pull out of the United States, whose market is dominated by larger models, was a sensible step to focus on its strengths, said Koji Endo, an auto industry analyst and managing director at Advanced Research, an equity research firm in Tokyo. The strong yen also made it difficult to profit by making cars in Japan and shipping them to the United States, he said.


“Basically, Suzuki does not need the United States, and the United States didn’t need Suzuki,” Mr. Endo said.


The American Suzuki Motor Corporation, the sole distributor of Suzuki vehicles in the United States, filed for Chapter 11 bankruptcy on Monday with $346 million in debt, the company said. In a statement, Suzuki said that various challenges led to its withdrawal from the American market, including low sales volume, the limited number of models in its lineup and unfavorable foreign exchange rates.


Suzuki also blamed “the high costs associated with growing and maintaining an automotive distribution system in the continental United States,” as well as “the disproportionately high” costs associated with meeting increasingly stringent state and federal regulatory requirements.


The company said it would sell its remaining inventory through its dealer network, honor existing warranties and continue to supply replacement parts for its vehicles. The company also intends to continue selling motorcycles, all-terrain vehicles and marine products in the United States.


Suzuki shares gained 0.65 percent to 1,847 yen (about $23.02) in Tokyo after the announcement, against a 0.36 percent decline in the benchmark Nikkei index.


While an exit makes sense for Suzuki’s bottom line, it does represent another disappointing failure by Japan’s second tier of automakers in their attempts to follow Toyota, Honda and Nissan into the American market.


A foray by Daihatsu, another Japanese manufacturer of compact cars, lasted only four years before it withdrew in 1992. (Subaru, manufactured by Fuji Heavy Industries, has fared better.)


Suzuki also had big hopes for its Japan-made Samurai 4-wheel-drive vehicle, introduced in the United States in 1985. A $30 million television advertising campaign urged American car owners to try the lightweight yet “rough, tough and brush-busting” off-roader.


The Samurai found a small but loyal following as a low-cost off-roader. But it also suffered early setbacks, including a drawn-out legal battle with Consumer Reports over whether the vehicles were prone to flipping over.


Suzuki later introduced several other models to the United States, including its Swift compact, and its executives spoke of selling 200,000 vehicles a year in the American market.


A partnership with General Motors proved beneficial for both sides, giving the American company access to expertise in smaller cars, while allowing Suzuki to tap G.M.’s dealership network to sell its cars.


But just as Suzuki’s sales were gaining traction in the United States, topping 100,000 in the mid-2000s for the first time, the global financial crisis hit, decimating Japanese exports.


General Motors, scrambling for cash, sold off its stake in Suzuki, and the Japanese manufacturer withdrew from a joint manufacturing venture in Canada.


Since then, Suzuki’s sales in the United States have dwindled. In the first 10 months of 2012, it sold just 21,000 vehicles. A budding partnership with Volkswagen also grew acrimonious, forcing Suzuki to regroup.


Experts said that Suzuki was likely to concentrate its managerial resources on strengthening its grip on markets like India, where it has been hit by worker strife in recent months.


This article has been revised to reflect the following correction:

Correction: November 6, 2012

An earlier version of this article misstated a description Suzuki used to promote its Samurai off-roader. It is “brush-busting,” not “bush-busting.”



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