Costs, Currency Issues Killed Mitsubishi-Renault Deal
Currency fluctuations and a lack of volume helped bring an end to a deal that would have seen M itsubishi sell Renault-Samsung vehicles as their own in North America, according to a report by Just-Auto.
While Renault-Nissan and Mitsubishi will continue to share production of a kei-class minicar in Japan, proposed plans to sell a large Renault-Samsung vehicle as a Mitsubishi in North America have been put on hold, along with the potential to export other models in the future. Currency issues and a lack of profitability for Renault-Nissan were cited as the main reasons that the deal fell through. Mitsubishi is apparently still open to searching for a new partner, w hile dealers are said to be growing anxious about a lack of competitive sedans in North America.
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My next business venture will be to go to Mitsubishi's US headquarters and sell suitcases. They're going to need plenty of them.
Hey Dereck, Looks like one of my 2015 predictions came true...
Oh, Mitsu...just throw it in and license the Evo to Nissan.
Here's a novel idea out of left field, so to speak. Mitsubishi has had a collaborative deal with Peugeot (and thereby also Citroen) in Europe, providing them with badge-engineered SUV's. Why not take the Peugeot 508 and put a new grille in it, sell it as a Mitsubishi Galant? Perhaps a 3 year contract, giving Mitsubishi time to develop their own D-class (mid-sized) car - or else just sign an extension to the contract if Mitsu can't be bothered to compete properly in China and the US (both places where D-class sedans are popular). The Euro is now almost at par with the dollar, so this should work. If the Euro-to-dollar relationship goes pear shaped, then bring the cars in from Dongfeng-Peugeot in Wuhan, China.