In a shocking bit of news, Mitsubishi Motors will not be launching any new generations of its current model line-up in Europe. As a result, Mitsubishi has also announced that it will be pulling the plug on its entire operation in Europe and start preparing for its eventual exit from the market. The company plans to sell its cars on the continent as long as the emission regulations allow them to do so or as long as its stocks last.
Mitsubishi Motors reported a huge loss of EURO 1.29 billion in the first quarter of 2020, and as a result, is aiming to stabilise its books by cutting losses in non-profitable markets and ramp up investment in those that are. Mitsubishi’s main aim will be increasing profitability in South-East Asian countries and has plans of launching multiple new products there over the course of the next three years. Mitsubishi has a very strong hold over these markets and the move falls under its new ‘Small but Beautiful’ campaign. By concentrating harder in South-East Asia, the company hopes to increase its market share from 6.4 per cent to 11 per cent very soon. Due to the automotive slump and ongoing Global pandemic, the sales numbers for Mitsubishi fell by 64 per cent in Q1 2020. Apart from pulling out of Europe and investing heavily in the South-East Asian market, Mitsubishi is also planning to restructure the entire company from the ground up. Part of these plans also include shutting down the Mitsubishi Pajero production plant in Sakahogi, Japan.
In order to bring new expertise and sustainable technology into the mix, Mitsubishi will also look into borrowing electric powertrain technology and semi-autonomous capability from its Renault-Nissan alliance. Talking about its upcoming vehicle lineup, Mitsubishi will be bringing out an all-new Outlander and is also working on launching an all-electric SUV in China by 2022. In the same year, Mitsubishi will also launch an all-new version of its L-200 pickup and the plug-in hybrid electric vehicle (PHEV) version of the Outlander as well. By 2023, Mitsubishi also hopes to bring out a brand new version of the Pajero Sport and Xpander MPV. However, despite the increase in investment in SE Asian markets, there is no news yet about Mitsubishi revamping or introducing new models in India.