![]() ![]() ![]() We can expect delays and cancellations for various vehicle programmes, the culling of unprofitable existing models, and more than likely the withdrawal from not only some segments, but possibly countries too: could the US and Canada be on the hit list? Nissan and MMC are expected to lay out official plans fairly soon which will see a new attempt made to reinvent both firms. Production was idled in April but MMC’s factories came back on line yesterday (18 May) and the Thai government is trying various incentives to revive the battered market for the small cars, crossovers, SUVs and pick-ups in which Mitsubishi specialises. Mitsubishi has annual capacity of 400,000 vehicles via several plants but sales have taken a big hit both locally and in just about every one of the more than 100 countries to which models made in Laem Chabang are exported. The brand image isn’t that strong, although owner loyalty is but expanding sales continues to be tough, and now others are piling in to the plug-in hybrid tech which MMC once dominated when it comes to SUVs. MMC’s problems aren’t centred on Japan, but rather the issue it has faced for a long time: being an at best medium sized car maker which has a presence in all regions takes up a lot of management time and much cash.Ĭhina and the USA have been especially challenging, and right now is a very difficult time for the Mitsubishi brand in both these giant markets. The results of that have been good, as the latest generations of both marques’ 660 cc models have been well received. The companies had worked together on various projects, such as the consolidation of their Japanese market Kei vehicles into the NMKV venture. Mitsubishi Motors Corporation serves as another example of the troubles which continue to beset the Renault Nissan Alliance, although to be fair to Nissan, MMC wasn’t in tip-top shape at the time of the takeover. To stay competitive in a post-coronavirus market, we need to immediately shrink our area of focus to regions and segments in which we excel,” MMC’s CFO added. “In the wake of the virus, we need to pick up the pace of making these changes. “Before the virus we had been mulling which under-performing regions and vehicle segments to cut our exposure to,” Takao Kato stated at an online press conference. There were some hints earlier on 19 May as the firm’s CFO announced FY19-20 numbers. The details remain secret but with Nissan set to lay out its own path back to profitability on 28 May, we should learn the specifics relatively soon. Some of the action points could be drastic. Please check your email to download the Report.įor many and varied reasons, a fresh plan is being drawn up with much of that in mind plus other restructuring. ![]()
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