Mitsubishi and Nissan have signed a deal to share the new Infiniti M sedan platform which Mitsubishi will use for an upcoming flagship sedan. The new sedan is said to be a successor to the Japanese-market Mitsubishi Diamante (Magna/Verada in Australia), which was last sold in 2005.
- shares

The new deal between the two Japanese companies was finalised yesterday. Mitsubishi won't be wasting any time putting the deal to use, and plans to sell a rebadged version of the Nissan Fuga half way through 2012. The new sedan is very likely to be a Japan-only model.

The Nissan Fuga is also the basis for Nissan's luxury brand Infiniti and the Infiniti M sedan. The Infiniti M sedan features various engine trim levels, including a flagship petrol V6 hybrid variant offering a combined power of 275kW. The Infiniti M will join the Australian line-up next year. Is it unknown what powertrain options Mitsubishi will adapt for its sedan.

As part of the deal, Nissan and Infiniti will also be given access to the all-electric Mitsubishi i-MiEV. Nissan is currently in talks at the moment about coming up with its own version. Confirmation on production and timing is yet to be made.

This won't be the first time Mitsubishi and Nissan have worked together. In December 2010, the two companies signed a deal to produce super-mini vehicles, specifically for the Japanese market. Nissan also supplied Mitsubishi its NV200 Vanette compact minivan foundations, and a Mitsubishi version is expected to go on sale in October.

What do you think of all this badge swapping business? Does it defeat the purpose of having separate companies and brands? Or does it provide increased competition that consumers can benefit from? Feel free to give us your thoughts below.