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For the fiscal year ending March 2021, Mitsubishi anticipates an operating loss of 140 billion yen ($1.33 billion). The second year of losses in a row, and possibly the worst in "at least 18 years".

As a result they're closing its Pajero Manufacturing Co., Ltd. plant in Japan and i n Europe, Mitsubishi will freeze the introduction of new models (including the new Outlander), but will still be selling its existing lineup and provide after-sales and service.

The big question now becomes, does this affect the new Outlander? If so, how bad will it be?

"Announcement of Freeze of Introduction of New Models to European Market
Mitsubishi Motors Corporation, at its July 27, 2020 board of directors meeting, resolved to freeze the introduction of new models to the European market.
Sales of existing models will continue.
Additionally, after-sales and services will continue, for customers who prefer to use Mitsubishi products."


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It looks like Mitsubishi is going to stop shipping their SUVs to Europe starting next month. The move apparently allows them to avoid re-engineering their vehicles to comply with new emissions regulations. So they're buying time for their new lineup.

Now, it appears that the plan is even more radical and includes the discontinuation of some existing models as well. AutoNews Europe cites an anonymous source with close ties to the company as saying that Mitsubishi will stop shipping its three SUVs to European markets starting next month.

The models include the Outlander plug-in hybrid, Europe’s best-selling PHEV, the ASX compact SUV and the Eclipse Cross coupe SUV. Together, the three SUVs made up 64 percent of Mitsubishi’s 53,242 passenger car sales in the first six months of 2020.

The source also said that imports of the Space Star/Mirage subcompact hatchback, Mitsubishi’s best-seller in Europe, and L200 pickup are expected to continue until the end of 2021. If accurate, the decision puts Mitsubishi’s viability in Europe into question, not to mention the local brand’s dealers.

“Without the SUVs there is no business. Dealers can’t survive on the small car and L200,” the source added. There must be a rational explanation for Mitsubishi’s decision, right? Well, according to the unnamed insider, halting imports of key models allows the company to avoid re-engineering them to comply with new emissions regulations.


 
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