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If anyone watched the 7:30 report last night they should really not be considering buying a Mitsubishi. With reports that Mitsubishi is going to close its factory and pull out of Australia, Mitsubishi has had to take reactive steps is clarifying the report presented:

Once again, please be assured that there has been no decision nor plan to cease production at our Tonsley Park manufacturing plant,” Mitsubishi Australia Boss, Mr McEniry said in his letter.

“Mitsubishi continues to perform to expectations and is tracking in line with our business plan and budgets for 2006.”

The report presented last night suggested that Mitsubishi is planning to pull out of Australia. the draft document apparently leaked from Mitsubishi, set out three possible dates for closure: February 2007, October 2007 or March 2008.

An official announcement would be made four months before the closure date, the document said. The plan, oddly named, Project Phoenix, would have Mitsubishi create the illusion of business as usual by continuing to place small orders for stock until one month before closure was announced.

According to the ABC, the document said ceasing local production was “inevitable” as sales of its locally made 380 sedan had failed to meet expectations and that Mitsubishi would remain in Australia only as an importer of vehicles.

All I can say, the future of Mitsubishi has never really looked that great. The first time I saw the 380, I wondered why on earth would mitsubishi put all its eggs in the “family car” basket hoping to compete against the likes of the Commodore and Falcon. Either way, the next few years will be interesting for the struggling Japanese car maker.






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