Mitsubishi puts the freeze on new models in Europe
MITSUBISHI has said it has no plans to launch any new models in Europe as the Japanese manufacturer seeks to cut costs and revamp its global operations.
Existing models will continue to be sold, as will after-sales services.
Mitsubishi, whose Outlander PHEV was a pioneering plug-in hybrid, wants to reduce its fixed costs by 20 per cent over the next two years and is putting much of its emphasis and resources into the South-East Asian market.
That's where the firm has the greatest market share - around 6.4 per cent - compared with its 1.0 per cent share in Europe.
Mitsubishi's plan, which it calls 'Small but Beautiful', aims to concentrate its resources on "core regions and technologies".
Takao Kato, representative executive officer and chief executive officer of Mitsubishi Motors Corporation, said: "We will shift our strategy from all-round expansion to selection and concentration.
"First of all, we will complete our structural reforms and further strengthen our competitive areas - ultimately to build a corporate structure that can surely generate profits during this mid-term period."
The move could represent the start of Mitsubishi's move away from Europe.
Existing models are unlikely to be replaced when they no longer comply with new EU emissions regulations, suggesting that this could be the first announcement in the firm's exit from the market.