Mitsubishi Production To Leave the Netherlands

In an ideal world, automakers would be able to continue production in locations where they find the highest quality of auto engineers and workers. However, that is not always the case. Faced with a stubbornly strong yen as well as other external factors, Mitsubishi has decided to withdraw from the Netherlands and head towards brighter production skies elsewhere.

While company officials have been pleased overall with operations at its Netherlands arm, President Osamu Masuko says, "Further investment to continue production at NedCar would not be economically feasible."1 Instead, Mitsubishi will focus its manufacturing efforts in emerging markets such as Thailand and Indonesia. In fact, the automaker recently broke ground at its new facility location in Indonesia where team members will build the Mitsubishi Outlander. Despite the shift in production grounds, officials say they will still export models to the European consumer population.

In an effort to alleviate the pain of pulling production in the Netherlands, Mitsubishi has promised to discuss ways to continue operations at the plant via a possible third party. Currently, the NedCar factory is operating at less than half of its potential capacity and will come to a halt by the end of 2012. In addition to the Outlander, the European plant has also been churning out models of the Mitsubishi Colt.

If you're interested in seeing where production of the Colt, Outlander and other new Mitsubishi models heads next, we invite you to stay tuned to our blog. Each and every one of our brand experts at Lujack Imports at 3700 N Harrison Street are dedicated to keeping you informed and answering any questions you can come up with.

Source:

1http://online.wsj.com/article/SB10001424052970204136404577206222024316992.html

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