Suarez is reportedly a target for the Gunners after expressing a desire to leave Liverpool this summer.
Giroud is convinced the two men can work together and sees no reason why Arsene Wenger's side cannot launch a title bid this season.
"Luis is someone with whom I could form a good understanding on the pitch," said Giroud, quoted in The Sun.
"So I am in favour of him coming to Arsenal and I am not afraid of the competition for places his arrival would bring about.
"Arsenal's aim for the new season will be to qualify for the Champions League.
"And, given the fact that our rivals have changed their coaching staffs, I don't see why we can't challenge for the title."
The France international, who signed Montpellier last summer, is also hoping for an improved campaign on a personal level.
"I aim to do better than last season, by scoring more than 17 goals and providing more than 10 assists."