MMC will not allocate a new model for NedCar from 2013 and beyond

Mitsubishi Motors' Makes Decision on NedCar

Tokyo , February 6, 2012 – Mitsubishi Motors Corporation (MMC) announced it has made a decision that it will not allocate a new model at its subsidiary European production site Netherlands Car B.V. (NedCar) for production from 2013 and beyond.

NedCar currently produces Colt and Outlander models designated for sales in MMC's European market. However, in December 2010, MMC had made decisions regarding future treatment of NedCar's production operation. Specifically:

    To terminate the local production operation of Colt at the end of 2012.
    KD production of Outlander will be maintained until the end of 2012, but whether a replacement model to be allocated for production from 2013 and beyond or not is yet to be determined.
    To further examine measures which would enable production operation at NedCar to continue from 2013 and beyond.

Based on the decision, MMC, together with the stakeholders including NedCar management and its labor union, its work council, as well as the Dutch government, had proceeded until today examining measures for the continuation of production operation at NedCar.
However, due to the wildly fluctuating operating environment which automobile manufacturers currently face, MMC could not come up with a reasonable solution to utilize NedCar among MMC's global production operation structure and thus MMC has concluded it is not viable to allocate a new production model at NedCar.

Europe is and will continue to be an important market for MMC and production and delivery of models for Europe from Japan and Thailand will continue; thus MMC's model mix and after-service structure will not change at all.

The status of NedCar from 2013 and beyond is yet to be decided, and talks among those concerned are to commence from hereon.

Outline of Netherlands Car B. V.
1. Location:     Born, Limburg, the Netherlands
2. Capitalization:     EUR 250,012,000
3. Shareholder:     MMC group 100%
4. Board members:     Chairman & CEO: Mr. Tetsuro Miki
President & COO: Mr. Joost Govaarts
5. Number of employees:     approx. 1,500
6. Corporate history:

    Started as a three-way joint venture in 1991 through MMC, Volvo, and the Dutch government. MMC became the sole shareholder when it bought all the remaining shares from its partners in March of 2001.
    NedCar produced MMC's Carisma from 1995, then afterwards the Space Star. Currently it produces the European-market Colt and Outlander. Local parts procurement is 85% for the Colt, and 20% for the Outlander.
    NedCar has produced a cumulative 1.1 million MMC vehicles to the present time.

Mitsubishi to stop production in Limburg [NL]

Mitsubishi stops production in Limburg

Thursday 16 December 2010 - Car maker Mitsubishi is stopping production at the Nedcar plant in Born in Limburg province, the Japanese firm said on Thursday, according to the Financieele Dagblad.

The Mitsubishi Colt is currently built from scratch at Nedcar and that will stop at the end of 2012. The plant employs 1,200 people.

However, the company is looking at the option of carrying out assembly work in Born using semi-manufactures imported from Japan.

source: DutchNews.NL

The Netherlands' Prime Minister support EV Programs [NL]

The Netherlands' Prime Minister Balkenende and President Masuko of Mitsubishi Motors Meet On Support of Electric Vehicle Promotion Programs

Tokyo, October 28, 2009— The Netherlands' Prime Minister Balkenende and President Osamu Masuko of Mitsubishi Motors Corporation (MMC) held a meeting on October 27th, and MMC agreed to support the Netherlands in their electric vehicle (EV) promotion program.

The Netherlands government has already launched this June a subsidy program to provide incentives for EV evaluation trials and demonstration projects and is working on popularization of the EV as one method of sustainable transportation. The Netherlands government intends to put in place a taskforce called the "E-Team," composed of both members of the government and the private sector to explore the issue, and requested MMC's support in their EV promotion program.

Mitsubishi Outlander production at NedCar goes into full swing [NL]

Mitsubishi vehicle production in Europe
Start of production of the Outlander in Born, Netherlands

* Strategy: even utilization of Mitsubishi car plants
* Planned volume: 30,000 units of the Mitsubishi SUV per year
* Market situation: consistently strong demand in Europe

Hattersheim, 28 August 2008. Eighteen months after the European debut of the new generation Outlander model in the spring of 2007 opens another chapter in the success story of the sporty SUV model: With the official ceremony started today the production in Europe Mitsubishi NedCar plant in Born, Netherlands.
The final preparations were running since September 2007, on 13 May 2008 started the pre-production and 1 August 2008 the regular production. Prominent guests at the opening ceremony on Thursday, the Dutch Minister of Economic Affairs Maria van der Hoeven and other government representatives. The host platform Osamu Matsumoto, director production of Mitsubishi Motors Corporation, Tim Tozer, president and CEO of Mitsubishi Motors Europe BV (MME) and Joost Govaarts, President and COO of the NedCar plant.

According to tradition, one Outlander was donated to the "Bio-Kinderrevalidatie", which is a facility for mentally disabled children and operates in the past year a research and treatment facility in operation. Osamu Matsumoto and Joost Govaarts turned over the vehicle to the foundation's director Maarten Elsenburg.
NedCar: 30,000 per year Mitsubishi Outlander
The assembly of the Mitsubishi Outlander with Japan-made for European markets * specified module kits made with a capacity of 130 units per day and shift on a separate line in the hall of the production is no longer produced model Mitsubishi Space Star. Starting with this year ** is on the entire model cycle of the vehicle an average annual production of 30,000 units. The worldwide production of the Mitsubishi Outlander would be - along with 150,000 units from a full-capacity plant in Okazaki, Japan - a volume of 180,000 units per year.

With regard to economic production and a solid refinancing is staffed with 600 employees Outlander production at NedCar on optimal use of existing facilities designed to model changes had only been in body welding and final assembly plant and logistics are made, in addition, side parts of the body in NedCar's own stamping plant.

From a European manufacturing are only the first of PSA Peugeot / Citroen (2.2 DI-D) and Volkswagen (2.0 DI-D) delivered diesel engines and components of the aforementioned body outer skin; in the further course, however, the order volume of local Suppliers increased.

Successful management
The reason for the relocation - as Mitsubishi, 18 September 2007 announced - a uniform utilization of Mitsubishi car works *** without any possible bottlenecks due to the high demand for the Outlander in Europe and worldwide and also strongly demanded new-generation Lancer.

How successful the Mitsubishi Outlander, with its combination of attractive design, driving dynamics, space, variability and low consumption and CO2 emission levels and the brand known for the low price-value ratio in Europe, shows the sales statistics:

Middle-class SUV (January-May 20081) in Europe: 268,291 units sold (+ 8.3% vs. 247,784 units from January to May 20071):

* # 1: Volkswagen Tiguan
32,787 units (new)
* # 2: Toyota RAV4
Vs. 31,645. 44,860 units (- 29.5%)
* # 3: Honda CR-V
Vs. 29,177. 32,170 units (- 9.3%)
* # 4: BMW X3
Vs. 23,782. 28,717 units (- 17.2%)
* # 5: Suzuki Grand Vitara
Vs. 18,646. 25,271 units (-26.2%)
* # 6: Land Rover Freelander
Vs. 16,880. 16,647 units (+ 1.4%)
* # 7: Mitsubishi Outlander (new)
Vs. 15,271. 11,435 units (+ 33.5%)
* # 8: Nissan X-Trail
Vs. 13,810. 10,605 units (+ 30.2%)
* # 9: Chevrolet Captiva
Vs. 12,726. 13,049 units (- 2.5%)
* # 10: Hyundai Santa Fe
Vs. 11,349. 19,471 units (- 41.7%)

Sale rate increase of Mitsubishi Outlander in Europe: 75%

1) Source: Jato Dynamics (20 European countries)
Mitsubishi Outlander sales within the territory of MME paragraph (34 countries): 17,085 (Jan. - May 2008) vs. 12,007 units (Jan. - May 2007): +42,3%

NedCar: high quality and flexibility
In one for the automotive industry difficult business climate is the relocation of the Outlander for the European markets to NedCar a vote of confidence in the quality and flexibility of the plant as well as a further demonstration of the efforts of Mitsubishi, the efficiency of its global production *** continually improve.

By avoid potential production bottlenecks and sales loss of Mitsubishi Motors Europe and more than 30 national distribution companies, the desired and required sales volume of a model that is excellent throughout Europe adopted - aptly in a moment that the market for compact and mid-sized crossover SUV Tends models.

* In addition to Russia, Ukraine, Norway, Switzerland, Israel, Iceland, Macedonia and Croatia, the supplies from Japan.
** NedCar total production volume per year: 65,000 ± Colt + 30,000 Outlander
*** Mitsubishi utilization of production facilities worldwide: (financial year 2004: 62%, fiscal year 2007: 92%).