The alliance is over
Mitsubishi announces that production of the Outlander-based SUV to PSA Peugeot Citroen will cease from January 2009.
This decision was driven by MMC's desire to optimize its production capacities according to demand for each model, minimizing missed sales opportunities.
A 100% Mitsubishi Motors facility, NedCar currently builds the European Colt family of compact cars. From August 2008, NedCar will add production of the Outlander SUV.
In parallel, production of the non EU-bound PSA Peugeot Citroen SUVs will be transferred to MMC's Nagoya Plant (Okazaki, Aichi Prefecture), starting November 2008.
Henceforth PSA will take charge for their own SUV production, regardless of the fact that 4007 and C-Crosser are based on the Mitsubishi Outlander, an excellent mid-sized SUV.
Rationalising the disinvestment from Japan, PSA said the two vehicles’ demand is outstripping supply and lead times from factory to dealer are too long and therefore need to be reduced drastically.
Credits: Jarvis
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