According to a report in the Nikkei newspaper on Wednesday and based on source information, Mitsubishi Motors has chosen to stop producing cars in China and is currently discussing its exit with its local joint venture partner Guangzhou Automobile Group.
The Hunan province plant would probably be used by GAC as a foundation for the manufacture of electric vehicles, according to the newspaper.
Mitsubishi Motors stated that discussions with the partners in the joint venture (JV) in China are still ongoing and that no decisions have been made regarding the future of the business there.
In order to focus on SUV sales in China, GAC, Mitsubishi Motors, and trading firm Mitsubishi Corp. established the JV known as GAC Mitsubishi Motors in 2012.
After stopping production of the car maker's Outlander sports utility vehicle due to poor sales just months after its launch in December, the company said in July that it will reduce employee costs in an effort to turn around its financial situation.
In April, Mitsubishi Motors announced that it will incur a charge of $78 million due to the venture's sluggish sales. Just than 32,000 automobiles were sold by the automaker in China last year, a 50% decrease from 2021.
The identical statement was made by Mitsubishi Motors and Mitsubishi Corp.
(Source:www.asia.nikkei.com)
The Hunan province plant would probably be used by GAC as a foundation for the manufacture of electric vehicles, according to the newspaper.
Mitsubishi Motors stated that discussions with the partners in the joint venture (JV) in China are still ongoing and that no decisions have been made regarding the future of the business there.
In order to focus on SUV sales in China, GAC, Mitsubishi Motors, and trading firm Mitsubishi Corp. established the JV known as GAC Mitsubishi Motors in 2012.
After stopping production of the car maker's Outlander sports utility vehicle due to poor sales just months after its launch in December, the company said in July that it will reduce employee costs in an effort to turn around its financial situation.
In April, Mitsubishi Motors announced that it will incur a charge of $78 million due to the venture's sluggish sales. Just than 32,000 automobiles were sold by the automaker in China last year, a 50% decrease from 2021.
The identical statement was made by Mitsubishi Motors and Mitsubishi Corp.
(Source:www.asia.nikkei.com)
