Mitsubishi leverages Renault and Nissan's resources to expand into the U.S. and Chinese markets

According to foreign media reports, Mitsubishi will use the products, technologies and factories of the Renault-Nissan Alliance to explore new developments in the United States and China. Mitsubishi Motors Chairman Carlos Ghosn said that Mitsubishi has not been able to develop sufficiently in the United States and China, the two largest auto markets in the world, due to a lack of resources. At a press conference before Mitsubishi Motors' annual shareholders' meeting on June 23, local time, Ghosn told reporters that the lack of resources will be resolved.

Ghosn said of the policy, "The potential depends largely on new products." "Mitsubishi still has a lot of needs that are not being met because Mitsubishi does not have the technology, the components, or the platform." Ghosn said Mitsubishi will make extensive use of the resources of the Renault-Nissan Alliance, which completed its acquisition of a 34% stake in Mitsubishi last year.

Ghosn promised a sharp turnaround for Mitsubishi Motors, which had seen profits plunge last year in a scandal over falsified fuel economy ratings tests. The crisis gave Ghosn, then CEO of the Renault-Nissan alliance, an opportunity to arrange a takeover of Mitsubishi and install himself as chairman.

Mitsubishi's recovery plan has already begun, focusing mainly on its Southeast Asian business, where it already has deep roots. But Ghosn said that in the future, Mitsubishi Motors will focus more on the US and Chinese markets. The US and Chinese markets are huge, so expanding in these areas is key.

Ghosn promised that there will be results early next year, especially in the Chinese market. "There is no doubt in my mind that Mitsubishi's development and growth potential in China is very large, and if there is hope, the outside world will see the results immediately next year and the year after, rather than five years later," Ghosn said, accompanied by Mitsubishi CEO Osamu Masuko. "In addition, Mitsubishi's development potential in the United States is also very large."

Neither Ghosn nor Masuko said what models Mitsubishi needs to add, but Masuko said electrified cars and crossovers will be the focus in the future. Ghosn said the Renault-Nissan Alliance intends to make electric vehicle components regular to maximize efficiency.

Masuko also expressed hope that Mitsubishi would take advantage of the global production networks of Renault and Nissan. "If the approach is ultimately feasible, we will consider using Renault or Nissan's facilities," Masuko said, without specifically mentioning Nissan's plants in the United States and Mexico. "Now that Mitsubishi is part of the Renault-Nissan Alliance, it can use their resources."

Under the revival plan, Mitsubishi aims to increase its annual global sales to 1.25 million vehicles in the fiscal year ending March 31, 2020 from about 1 million now.

China will feature prominently in the plan, with Masuko hoping to boost sales there to 300,000 vehicles in the early 2020s from less than 100,000 in the just-ended fiscal year by introducing new products and expanding its dealer network.

Meanwhile, the United States remained Mitsubishi Motors' largest market last year, although sales growth was not as strong. In the fiscal year that began April 1, Mitsubishi expects North American sales to rise 3% to 148,000 vehicles.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.