Mitsubishi Motors announced on Friday that it would cease automobile production in the United States and seek to sell its Normal, Illinois, factory.
The Japanese business stated in a statement that it had been notified that it was necessary to halt operations and find a strategic buyer for the Normal factory. The greatest possible conclusion for our employees and the community is to find a buyer who would keep the business operating and sustain employment, so that is our current priority.
Following rumours from Japan that the automaker was withdrawing from the American market to concentrate on Asia, the announcement was made the following day.
We informed our staff of this news today and expressed our intention to collaborate with the UAW and local authorities over the ensuing months in order to reach a favorable outcome.
As a joint venture between Mitsubishi and Chrysler, the factory debuted in 1988.
The news shocked the community because it had previously been highlighted by Mitsubishi in its advertising as a test site for their electric vehicles.
The mayor of Normal, Chris Koos, issued a statement on behalf of the city’s approximately 1,200 local Mitsubishi employees and critical local suppliers who would be affected by this decision. I hope they find some solace in the knowledge that the entire McLean County community will be laser-focused and work relentlessly over the next few weeks to quickly attract a replacement job.
Mitsubishi produces the popular Outlander and Outlander Sport SUVs, the Lancer and Lancer Evolution sedans, and the $12,995 Mirage, one of the least expensive vehicles available in the United States. The I-MiEV, a new electric vehicle introduced by the business, failed to gain traction.
Mitsubishi has had improved sales this year despite a declining profile. According to Autodata, it sold 49,544 automobiles during the first half of the year, an increase of 24.9 percent.
In This Article...
In 2021, will Mitsubishi still be producing cars?
Mitsubishi Motors North America, Inc. will release three vehicles that have undergone significant revisions and one completely new vehicle between now and the second quarter of 2021. The carmaker also announced that Forward Collision Mitigation with Pedestrian Detection will be standard on all 2021 model lineup vehicles.
Mitsubishi is it closing down?
Mitsubishi has now formally confirmed that it will be closing the aforementioned factory. The Pajero will no longer be produced, according to the company, in the first half of 2021. The choice was taken following a board of directors meeting for the business.
Why did Mitsubishi discontinue producing Lancers?
Mitsubishi discontinued the Lancer and Lancer Evolution for what reasons? Mitsubishi made the decision to concentrate their efforts on crossover vehicles or hybrid automobiles in order to meet customer demand as efficiency and adaptability became more essential to consumers.
Is a new Mitsubishi car available?
Up to the fall, Mitsubishi will continue to sell new vehicles before switching to an aftersales-only model, according to the company. By the end of the year, new models like the plug-in hybrid Outlander and the L200 pickup will no longer be offered.
Is Mitsubishi still producing new vehicles?
The Japanese carmaker Mitsubishi Motors Corporation, which has its headquarters in Tokyo, is a member of the Renault-Nissan-Mitsubishi Alliance and sells automobiles and crossover SUVs in the United States. It has recently reduced the number of vehicles it offers, similar to several of its rivals. The company got rid of the Lancer compact sedan and the Mitsubishi Evo, which was a favorite among enthusiasts.
The only vehicle left is the tiny Mirage hatchback and the Mirage G4 sedan, which are two of the most reasonably priced new vehicles available. One of the first subcompact SUVs, the Outlander Sport, which debuted in 2011, is still on the market. The standard Outlander is a larger compact SUV with three rows of seating for up to seven passengers. The Mitsubishi Eclipse Cross, a coupe-like SUV with space for five people, fits in between them. Mitsubishi once sold fast cars in this country under the Eclipse moniker.
Why isn’t Mitsubishi more well-known?
Fewer than some luxury automakers, 46,021 automobiles were produced in the United States. That’s partly because Mitsubishi can’t advertise its products as broadly because it doesn’t have the same big coffers as many of its rivals. It also results from Mitsubishi’s constrained product selection, which mostly consists of crossovers and tiny cars with little variety. Additionally, the fact that the Mitsubishi dealer network is so much smaller and more dispersed than that of other marques doesn’t help the situation. To make matters worse, Mitsubishi models
Do Mitsubishi plans to leave America?
Due to product overlap with its partners Nissan and Renault, Mitsubishi has scaled back significantly. Under the new plan, Nissan will handle North America and China, while Renault fills in the gaps in Europe and the UK, and Mitsubishi will concentrate on Asia-Pacific markets.
Despite fears that Mitsubishi would completely abandon North America, the firm just last week revealed plans to update its lineup, with the next-generation Outlander leading the charge in 2021 and a PHEV Outlander powertrain update at the end of this year to improve performance and range. In order to complete Mitsubishi’s ongoing recovery from its collapse in the mid-2000s, the company will also revamp the Eclipse crossover and the Mirage, which has witnessed gradually rising sales since its introduction (not to mention the COVID-19 pandemic). The company noted that it is still looking for new ways to get a piece of the megamarket pie here in the United States as it today announced the opening of a new dealership franchise with the Little Rock, Arkansas-based Steve Landers Cowboy Mitsubishi. Since most OEMs rarely consider a new dealer collaboration to be major news, Mitsubishi’s announcement sticks out; in fact, the action strengthens its commitment here in the United States.
According to Steve Smidlein, manager of Mitsubishi Motors of North America’s central region in the United States, “Mitsubishi Motors is committed to expanding our dealer footprint now more than ever as we get ready for all-new and significantly refreshed Mitsubishi vehicles to begin entering showrooms within the next 12 months.
We’re optimistic that Mitsubishi will continue to exist for years to come despite their leadership being dissatisfied with the rate of growth as their annual revenues finally reach levels seen prior to the 2008 financial crisis. We’ll have to wait and see how the Renault-Nissan-Mitsubishi alliance develops before we can say with certainty what that looks like in ten or more years.
What causes Mitsubishi to fail?
Mitsubishi persisted in its rallying endeavors but changed from the Starion to the Lancer saloon, resulting in the Lancer Evo. The powerful Evo versions would essentially establish themselves as a brand, garnering praise for their performance, technology, and handling. When driven by Tommi Makinen, they dominated the World Rally Championship despite fierce competition from Subaru, Ford, Hyundai, and Skoda.
When the Japanese financial crisis of the 1990s hit, Mazda surpassed Mitsubishi to become the third-largest Japanese automaker, and Mitsubishi would never regain that position.
A manufacturing fault controversy involving failing brakes, gasoline leaks, and malfunctioning clutches that Mitsubishi was embroiled in in 2000 eventually led to the recall of more than 160,000 vehicles. Katsuhiko Kawasoe, the firm chairman, was fired and detained as a result of the controversy.
The electric iMiEV, which is based on the gasoline-powered Mitsubishi I arrived on the market far earlier than most other electric vehicles. Mitsubishi was the first to market, despite the fact that its 100 km range and hefty price make us chuckle today.
Mitsubishi once more gained an advantage over the rest of the auto industry by developing the first truly well-liked plug-in hybrid vehicle. Although the Outlander’s appearance and interior may not have been best-in-class, its engineering is close to unmatched, and it hasn’t experienced any of the battery dependability problems that have plagued some of its PHEV competitors.
Mitsubishi made news for all the wrong reasons once more, this time for exaggerating how inexpensive several important models on the Japanese market may be. In actuality, it was subsequently discovered that Mitsubishi may have cheated on their fuel testing for up to 25 years. More corporate blood was spilled, and the scandal allowed Renault-Nissan to acquire Mitsubishi.
Will Mitsubishi make a comeback?
However, despite the possibility of a new Evo 11, there are several problems that need to be resolved. The concept car’s ride height comes first. A crossover SUV with nearly the same riding height as vehicles like the Ford Mustang Mach 1, the Mustang Mach E GT. Folks, it still might be a crossover. But the underlying problem is not that. The comment made to the Japanese media outlet Response back in July of this year is the real issue.
Takao Kato, president and chief executive officer of Mitsubishi Motors, had two things to say. First of all, he reaffirmed that Mitsubishi is indeed returning to rally racing with the Ralliart nameplate. Tommi Makinen’s ears perked up just then. However, Kato also informed Response that no new Mitsubishi Lancer Evolution models were in the works.
Will Mitsubishi ever again produce cool cars?
In the upcoming years, Mitsubishi might finally return to the world of rally racing. Although it’s willing to increase performance across the board, the Lancer Evolution won’t get a speed boost.
The company’s CEO, Takao Kato, said to investors at a shareholder meeting held in Japan that restoring the Ralliart brand in May 2021 was the first step toward producing faster, more thrilling vehicles. According to Japanese journal Response, the CEO said, “We intend to expandto a wide range of models as genuine accessories first, but we will also contemplate engagement in rallies.” Importantly, a racing program has not yet received approval.
It is unclear how a prospective return to rallies would be carried out. The Lancer Evolution (shown), Mitsubishi’s former rally king, retired in 2015 without a replacement. The company already offers crossovers, SUVs, and pickup trucks; the Mirage, though, is likely too small to be considered a rally vehicle. Even without a Lancer to base it on, it’s easy to think that a return to racing will bring the Evo back to the range, but Kato poured cold water on those long-running rumors.
He emphasized that despite Mitsubishi’s stockholders’ requests, a new Evo is not in the works. “Electrification is expensive, and our power is still insufficient. We had a sizable deficit at the end of the previous fiscal year, “explained Kato. “We must first revitalize the business. Then, we’ll consider releasing the vehicles that fans have been waiting for.”
He intends to resurrect the business by swiftly introducing a number of popular models. Recent revisions to the Mirage, Eclipse Cross, and Outlander Sport all garnered positive reviews, and the new Outlander, which boasts significant enhancements, was unveiled earlier in 2021.
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