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A Sneak Peak At Mitsubishi's Newest Sedan
by
Derek Kreindler
(IC: employee)
Published: January 6th, 2015
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The next Renault Samsung SM5 has debuted in Korea, giving us a preview of Mitsubishi’s next entrant in the D-segment.
Mitsubishi and Renault Samsung previously announced a deal that sees the SM5 and the Lancer-sized SM3 arriving in North America to help fill the gap left by the Galant. The C-segment SM3 will replace the Lancer.
Derek Kreindler
More by Derek Kreindler
Published January 6th, 2015 9:18 AM
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Mitsubishi has an assembly plant in Normal, Illinois. It would cost them tens of millions of dollars to shutter the facility and abandon the U.S. market. They are content to eek out a miniscule share of the market and make a small profit on that. The Mirage is described as absolutely dreadful, yet it has been more successful than they originally anticipated. No reason to think a rebadged SM5 will be any less successful.
I don't think it's tough to see why Mitsu hangs around. They cater to a growing demographic in the credit challenged. They don't seem to be spending a ton on R&D for their American products. Why not keep shoving that excess plant capacity into the American market with easy credit terms?