This reminds me of a question I keep reminding myself to ask here at Edmunds, but keep forgetting. It is in regards to import tariff's on automobiles from foreign manufacturers. I'm hoping someone here might know the answer. I could probably look it up myself but I would probably overdose on information overload before I found my answer, especially since it would involve U.S trade policy which probably runs about 12,000 pages (that might be a LOW estimate actually).
Anyway, here goes...I was told that If a foreign automobile manufacturer builds a transplant assembly factory in the U.S. then that same manufacturer can bring in two (2) assembled vehicles from its' own country - duty free - for every one (1) that it builds here. So, for every $16,000 Corolla that Toyota builds in the U.S. they can bring in two top of the line $60,000 Lexus vehicles. Or Avalons, Highlanders, etc..etc..
I was told this during a conversation about why the Chinese seem so intent about getting an assembly plant set up in the states. If this is actual trade policy then it would make sense for a manufacturer to set up something here. Especially in this day and age when brand loyalty is so fleeting and a mere $200.00 - $300.00 price difference can make a customer walk across the street to a competing dealer.
So, can anyone tell me if this is fact? Thanks in advance.
Ain't looking too good for Normal at this point. I do remember that PSA was targeting to get back into the US and the Normal facility was more that likely going to be their first production site (in conjuction with Mitsu, of course). That site may very well close but I know that Mitsu wants to keep a production facility in this country. The next few months will be very interesting.
Mitsubishi Motors North America (MMNA) today announced August sales of 4,293, which is the fourth highest monthly sales total for Mitsubishi this year. (July sales were at 5,648)
Sales were 37 percent lower, compared to last August – a month whose sales were boosted to the highest monthly level since 2008 by the federal "Cash for Clunkers" program.
Two of Mitsubishi's highest volume vehicles continue to show sales increases year-to-date:
Galant sales are up 28.5 percent for the year Outlander sales are up 11.3 percent for the year
Tried the Ask-the-community-a-question route but can't figure out how to present that question using only 115 characters ???
Perhaps someone proficient in the language of texting cn ask 4 me.
Also,not trying to start a political discussion per se, but concerning the drop in August auto sales across the entire industry I have heard several economic pundits on different channels saying that if opposition party Republicans can capture the House, Senate (or both) in the midterm elections then auto sales will rise dramatically. The commentators claim that this will produce gridlock and freeze government spending programs giving potential customers the confidence to buy new cars. Sounds plausible.
The 114 character limit is just for the initial question. After that step, you can enter all the details you want in the next box that will open for you.
I think the real reasons foreign companies open manufacturing facilities in the states are to save freight costs, to take advantage of currency differences and tax laws by shifting money around, and it's good politically to have a local presence where you sell stuff.
I was told in different articles that the drop is due to the Cash for Clunkers program that was in effect last August. I don't think the Republican are NOT good for auto industry. They were against cash for clunkers and they were just going to let GM and Chrysler go out of business and disappear. I just hope they stay out of control
Went to the Mitsubishi MOD 2010 show at the factory in Bloomington-Normal yesterday. I was hoping to ride in the electric Miev but there was way to many people there and you had to drop in raffle tickets to win a ride..or something like that. I don't like waiting in lines anyway but I did talk to the Mitsu Miev guys and sat in the car itself. First off, they told me the gas powered i car would not be coming to N.A. and that the N.A. spec Miev would be at the LA auto show in November and it will be a bit wider (6 inches) with more gadgets and upgraded interior/safety. It will be available for sale November/December 2011. Mitsu is doing a lot of pre-release work with the Miev and expects it to do well. Apparently the police departments in the U.K. are going to use them in some capacity. Despite the bubble look of the car it is pretty big inside and four adults can ride comfortably and it makes NO noise whatsoever!
I think that electric vehicles will do very well in North America and worldwide. One of the best things is that improved battery packs can simply be installed in your current vehicle so you could possibly go from a 60-80 mpc battery to a 120-140 mpc battery upgrade in just the time it takes to install a new pack without purchasing a new vehicle..
I also checked out a new Outlander Sport. I didn't get to drive it but it had a sturdy feel to it when sitting behind the wheel. The AWD knob was exactly the same as the one in my 08 Outlander. It sits a bit higher than my Sportback and quite roomy with the rear seats down. I am definitly taking one of these for a spin next time I am at the dealership. I have had zero problems with my two other cars that contain the same engine as the Sport albeit in the 2.4 litre version as compared to the 2.0 version in the Sport. My 08 Outlander SE now close to 30k and my Lancer just over 10k are running flawlessly so far with great fuel mileage. Fuel mileage is really the only reason I would consider getting rid of my 04 Outlander and replacing it with a new Sport. I have 2 relatives, a cousin and a niece, that told me to let them know if I ever wanted to sell my 04 so I would not have a problem getting a good price on it but even at 83k it still runs great. The 04 mileage is averaging around 22 mpg so the new Sport - rated at 31 hwy - would be a nice improvement but it wouldn't make up for new car payments. I think I'll have to hold onto the 04 for the the time being but anyone in the market for a new CUV should check out the Mitsu Sport. a really nice looking vehicle. I hope it does well for them and I would recommend Mitsu listen to some of the gearheads on the net and at MOD 2010 and consider a Ralliart version of the Sport with the 4B11T engine or even the V6 that's in the Outlander GT. Mitsubishi has always hung their hat on the performance hook and a Ralliart Sport would really broaden their appeal.
Elgatoloco -- great post. I'm surprised the i car is not coming here. Seems like it would make a nice compliment to the iMiev.
Seems like Mitsu would release a Ralliart version of the Outlander Sport in the next few years since it already comes with the 4B11 engine. I think that Ralliart is only going to apply to their light pressure turbo cars. I don't think they would drop that V6 in it though due to weight. I'm just speculating.
Mitsubishi Motors reports a sales increase of more than 5 percent
Mitsubishi Motors North America (MMNA) today announced last month was one of its best in nearly two years with September sales of 4,961, an increase of 5.3 percent compared to September 2009. MMNA has reported only three higher monthly sales totals since November 2008.
"Our September sales give us encouragement that consumers are returning to the market," said MMNA President & CEO Shin Kurihara. "Our momentum will accelerate the remainder of the year, because we are launching our all-new Outlander Sport CUV."
September sales highlights include:
•Lancer sales were up 71 percent compared to September 2009. •Outlander sales were up 104 percent in September and are up 17 percent for the year to date. •Endeavor sales more than tripled (up 324%) compared to last year and are up 7 percent for the year. •Eclipse coupe sales were up 7 percent for the month, and Eclipse Spyder sales were up 7.5 percent. •Lancer Evolution sales were up more than 45% in September.
Mitsubishi Motors North America, Inc., (MMNA) is responsible for all manufacturing, finance, sales, and marketing operations for Mitsubishi Motors in the United States. MMNA sells coupes, convertibles, sedans, sport utility vehicles, and light trucks through a network of more than 400 dealers. For more information, contact the Mitsubishi Motors News Bureau at (888) 560-6672 or visit media.mitsubishicars.com.
Hey, crazy cat, I was at Factory MOD as well. I even one a set of RF Punch Plugs in the drawing. Like you I didn't get a ride in the i-MiEV but I did sit behind the wheel for a few minutes. I'm glad you said they'd be widening it; it felt too narrow for us American-sized folks.
From what you mention I'm wondering if as it stands the i-MiEV wouldn't do well in crash tests. It really doesn't have much of anything for a front end.
Moving on .. I really liked the Outlander Sport. I expected it to be a shorter version of my Outlander GT but in reality there are many, many differences. It feels narrower. The front quarter-panels are made from recycled plastics and have give a la Saturn's of old. No split tailgate but still a decent amount of cargo space. I still want to drag my wife to drive one once they've been released; I think it'd make a good replacement for her '01 Elantra.
In MMNA news & info, while on the plant tour the guide revealed that they export to 32 different countries from that plant. During it's heyday in the '02 time frame they were making over 200K cars a year & ran a second shift. Sadly, it's just about a 10th that right now.
.. which implies Galant sales were down since they didn't mention it and they would have if sales had risen.
Evo sales are noted separate from Lancers. What about the Lancer Sportback? Are they lumped in with standard Lancers or should we assume their sales fell as well?
the Lancer Sportback isn't selling very well. I read numbers recently, it's selling about 1 for every 150 regular Lancer's.
I really like this Outlander Sport a lot, I would consider trading our '08 Lancer GTS in for one of them in a few years. Beautiful new SUV from Mitsubishi. I don't know why Mitsu sales are suffering so much.
Partly it's all the dorks that go out and make a "safe" purchase of a Toyota Corolla over a Mitsubishi Lancer. They worry more about stupid stuff like resale value more than the car itself. And in the case of the Corolla, you get a better built car, more overall car too, with the Mitsubishi Lancer. You get better performance numbers and you get a better Warranty as well.
You also get things like an interior you can stand to look at, knee air bags, and other things that Civics & Corollas are simply lacking right now.
Of course, the Honyotas do get better fuel economy. The Outlander Sport will get better than the CR-V and RAV-4 but then those CUVs are really competition for the regular Outlander. The Sport is more a competitor of the Tucson and the Sport does get better economy than the Tucson in both 2WD or AWD versions.
And in the case of the Corolla, you get a better built car, more overall car too, with the Mitsubishi Lancer. You get better performance numbers and you get a better Warranty as well.
Yeah, but what you don't get is the fuel economy. That's the place where Corolla and Civic stand out, although it doesn't help Mitsu that they have 400 dealers as opposed to the 1000-1200 Honda and Toyo have.
But yeah, if you're into performance over fuel economy, forget Corolla. Toyota hardly sells any Corolla 2.5s. Sales are almost exclusively of the 1.8.
Then Mitsu's problem is that everybody and their mother has a compact car with a 2.5 in it making more than 150 hp and turning in decent numbers....but the bigger problem really is that the majority of the buyers in this class ARE looking for fuel economy, as most of these are bought to be solo commuters or a second car for work.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
What are you talking about? In my 2008 Mitsubishi Lancer GTS with an automatic CVT engine, 2.0L, 152hp, 148 lb.ft-torque, I get 32mpg on the freeway and 25 mpg in the city! No kidding, then, when you look at the ugliness of the Corolla, I really wonder where all the car enthusiasts have gone in the U.S. :sick:
Despite U.S. slump, Mitsubishi sees rebound Hans Greimel Automotive News -- October 11, 2010 - 12:01 am ET image Print image Email image Reprints 1 comment Recommend (1) RSS Feed >> Send us a Letter to the Editor
How committed is Mitsubishi to the U.S.? Is quitting an option? People have been asking me for the past six years whether Mitsubishi's going to withdraw from the market. But it never enters my mind. ... We have never thought about withdrawing from the U.S. market, and we will not do so.
Photo credit: TOSHIYUKI AIZAWA/BLOOMBERG Thought Leadership
Mitsubishi Motors Corp. has fallen hard since its U.S. business peaked at 354,111 vehicles sold in 2002. In 2009, sales tumbled 45 percent, amid a 21 percent industrywide slide, to 53,986. In the first nine months of this year, sales dropped 3 percent to 41,392 in an overall market up 10 percent.
President Osamu Masuko faces a long list of structural problems at the carmaker's U.S. operations. Mitsubishi is struggling with an aging lineup of slow-selling, U.S.-made models such as the Galant, Eclipse and Endeavor. It is saddled with a factory in Normal, Ill., that operates way below capacity. And its more attractive import lineup is being hit hard by the yen's surge against the dollar.
Masuko, 61, spoke with Asia Editor Hans Greimel last month through an interpreter about his market outlook, the impact of exchange rates and plans for electric vehicles and other new models.
What's your assessment of the economy?
For the 2010 fiscal year [which ends March 31, 2011], the global economy seemed to undergo a moderate recovery. This is what we were hoping for. But then came the financial crisis in Europe. And we thought the economy would pick up more in the United States, but it's not recovering as much as expected.
So compared to our initial outlook, the reality is more severe. In this environment, what is causing us the biggest trouble is the appreciation of the yen. That is the biggest issue we have to overcome.
How is the yen's appreciation affecting Mitsubishi?
It's not just the yen's appreciation against the U.S. dollar. It's appreciating against the euro, the pound, the Australian dollar and the Canadian dollar. The losses we are experiencing in exports pose a very difficult situation for us. We are not able to raise prices that easily. The reason is the market is very competitive.
What can Mitsubishi do about it?
The Lehman shock of September 2008 had a big impact on the whole industry. Japanese automakers, including us, implemented emergency measures to cut costs and reduce expenditures. And we did as much as we could do. So there were no real big items left to cut or activities that would have a big impact.
After all that comes the appreciation of the yen. So it's not easy to reduce costs or expenses, because we don't have any more room. We've done what we could. If you think about shifting production overseas, we cannot do that on a short-term basis. Of course, on a mid- or long-term basis, we have a strategy. But it won't help you short term.
One example might be procuring more parts from overseas. That is something we could immediately do, and there's going to be an impact.
How can Mitsubishi make better use of its U.S. plant?
When we think about foreign exchange rates, we have to evaluate overseas plants in a different way. I really feel we have to make effective use of the plant. We are going to announce the fiscal year 2011 business plan by the end of this year. We will announce what to do with the U.S. plant at that time.
I cannot speak about it too concretely, but from what we know at the moment, it is not possible to continue with the models that we have had.
Your head of U.S. procurement and supply, Sandra Gillespie, just left the company. What kind of problems does that pose for your overhaul of the Illinois plant?
She left the company because of personal reasons. That was not our intention. But just because she left the company doesn't mean there will be an impact in our policies. The top management in the United States has changed many times, including the CEO. It's not a big issue. As a company, we're not working as individuals. We're working as an organization.
What are your U.S. sales goals this year and next?
This year is better than last year. And at the end of this year, we are launching the Outlander Sport in the United States, and we expect better results next year when it is counted in a full year of sales. Sales were 54,000 units in the 2009 fiscal year. In the current 2010 fiscal year, it will be 68,000 units, including the Outlander Sport. And fiscal year 2011 will further exceed this number.
Mitsubishi's U.S. sales peaked at 354,000 in 2002. What accounted for the tumble?
First of all, the overall market has shrunk. But we also took very active sales expansion policies. One or two years of those led to great losses that we didn't forecast. In the past we were engaged in fleet sales and incentives. We sold vehicles with zero or low interest rates.
What we learned is that we should not be selling vehicles in a way that is not an ordinary practice. Now we are driving our business very safely. You have to do business that fits your own size and capabilities. You shouldn't try to overstretch yourself.
What is the right size for Mitsubishi in the United States?
At Mitsubishi, we're always talking about what the best scale for our sales in the United States would be. We haven't really come up with a conclusion. But my personal opinion -- I don't know how many years it would take -- is our target could be around 200,000 units.
If we sell 200,000 units, we could probably produce at least 100,000 units at the plant in the United States and import 100,000 from Japan. This would help secure a minimum level of volume in the United States.
How will you improve U.S. sales?
To rekindle the U.S. market, we are introducing an electric vehicle next year and then a plug-in hybrid after that. We are very much oriented around environmentally friendly technologies. This is one of Mitsubishi's new pillars for penetrating different markets.
What other green technologies is Mitsubishi pursuing?
We have developed a next-generation clean diesel engine and just launched the product on Sept. 16. Society is demanding green technology from us. And when we look out 10 or 20 years, it is important for us to have this technology to retain a place in the industry.
Because we have been developing and producing electric vehicles, we were able to acquire a lot of new technology. We would like to apply technology developed through our electric-vehicle program to our gasoline and diesel programs as well.
Will Mitsubishi bring its diesel engine to the United States?
Will Mitsubishi bring its diesel engine to the United States?
We could, but I believe diesel isn't so popular in Japan and the United States.
How difficult will it be for Mitsubishi to meet the new U.S. corporate average fuel economy regulations by the 2016 model year?
The new CAFE is very stringent and requires a high level of technology. It is a very difficult challenge for us and the entire industry, but we strongly believe we can handle it with the present technology we have.
Up until 2016, what we want to do is enhance our use of continuously variable transmissions, reduce weight and reduce air and rolling resistance. After 2016, the regulations will get tighter, so we would like to introduce electric vehicles or plug-in hybrids.
What are your expectations for incentives and marketing in the United States this year?
Incentives came down by about $270 per vehicle in the first quarter of fiscal year 2010 compared with the previous year, but the average incentive per vehicle still exceeded $3,000. But we'll be introducing a new car soon, so the total year's average incentives should settle somewhere lower than $3,000 per unit.
What effect will the Outlander Sport have on the brand's profile?
The Outlander Sport is selling well in other countries, so we have high expectations for the United States. As it is well-received, brand recognition will further improve. And this means there will be an impact on other models.
To accomplish this, we're hoping that total industry demand won't drop and will stay around the 12 million level, or at least 11.5 million. We have even higher expectations for 2011. We want it to exceed 12 million.
What is the status of your U.S. dealer network?
There are about 400 dealers in the United States right now. First there was the Lehman shock, and then came the problems at the Detroit 3. So dealers have undergone a lot of reshuffling. Some dealers have left the Big 3 and joined Mitsubishi. So the overall number of dealers has not increased or decreased much. But new and capable dealers have joined Mitsubishi, so we have high expectations.
I am sure the introduction of new models, including the environmentally friendly i-MiEV electric vehicle, into the American market will contribute to the revitalization of business.
so there ya have it, fellow Mitsu dudes. Their CEO has reiterated again that Mitsubishi is staying in the U.S. sales market. Great new comments and ya know what, not once did he sound negative overall. Sure, challenges are large, but the Company is going to stick around and sell Japanese cars here in the U.S. till the cows come home.
I continue to drive and enjoy my wife and I's 2008 Mitsubishi Lancer GTS. What a great car, even though I am straying in my interests of late with the Toyota FT-86 RWD sports car in 4-door sedan form, it's fairly doubtful I will trade this puppy in. It's too good of a car. A ball ta drive. And reliable, strong and solid. I simpy love the car.
When it comes time to deal, it will more than likely be for a new Mitsubishi. The value, reliability and fun ta drive factor is simply unmatchable.
Rock on Mitsubishi!
There she sits, in all of her Rally Red glory, in her backyard parking space of our Nevada home.
Thanks for the article. You don't find too many interviews where execs give answers that truly sound honest.
Still, he skirted the issue of what to do with the Galant/Eclipse/Endeavor trio and the US plant. The truth is they need to do the R&D and spend the retooling dollars to get all-new versions of these three. They could probably drop the Endeavor, though, if needed. But the Galant & Eclipse really need a new lease on life.
I sat in an Outlander Sport at MOD a few weeks back and it's a nice car. I think it'll compete well against the Tucson & Rogue.
Too bad the US is so Diesel-phobic; we could get an easy 20-40% boost in fuel economy if people would only buy them in meaningful quantities.
You maybe right about the Galant -Eclipse -Endeavor made in Normal IL. Does not even look like they are going to be made anymore if they are not advertising them. Normal IL plant question is skirted again. Does not look good for the US Normal plant.
Mitsubishi ads focus on Outlanders, Lancers Online test drive is in, and 3 models may be out The Outlander Sport arrives in showrooms next month.
Ryan Beene Automotive News -- October 18, 2010 - 12:01 am ET
CABO SAN LUCAS, Mexico -- Mitsubishi will focus its upcoming marketing on just two vehicle "families" -- Lancer and Outlander -- leaving the U.S.-built Galant sedan, Endeavor crossover and Eclipse coupe and Spyder out in the cold.
The new approach appears to preview the troubled brand's future U.S. model strategy, being formulated in Japan.
The Lancer and Outlander accounted for nearly two-thirds of the automaker's U.S. sales through September.
"They're our pillar models as we develop a strategy for growth," said Greg Adams, vice president of marketing and product planning for Mitsubishi Motors North America. "When you're as small as we are, you need to focus."
Mitsubishi offers two body styles and three significantly different trim levels for the Lancer small car, ranging from the nearly $15,000 base model to the more than $40,000 high-performance Lancer Evolution.
The Outlander crossover will be joined in November by a smaller vehicle, the Outlander Sport. The two nameplates are based on the GS platform.
The new marketing strategy is part of Mitsubishi's effort to end a U.S. sales drought. In 2007, the automaker sold 128,993 new vehicles in the United States. By the end of 2009, sales had plummeted to 53,986, and the brand is down 3 percent for the first nine months of this year.
The full details of the product plan will be unveiled next month by Mitsubishi Motors Corp. in Japan. The company also will lay out what it plans to do with the assembly plant in Normal, Ill., which builds the Galant, Endeavor and Eclipse coupe and Spyder. Those vehicles were conspicuously absent from the marketing strategy outlined during a press event here this month.
In a September interview with Automotive News, Mitsubishi Motors Corp. President Osamu Masuko said he hopes eventually to sell 200,000 vehicles annually in the United States. But he said overhauling the U.S. lineup, which has long leaned toward large sedans and SUVs, is essential to a turnaround.
"From what we know at the moment, it is not possible to continue with the models that we have had," Masuko said.
Adams, the North American marketing executive, said he didn't know what Japanese executives plan to do with the Galant, Eclipse and Endeavor.
"We have submitted a number of ideas about what we would like to do with all of the lineup," he said. "They're looking at it and how it fits with the overall strategy because Mitsubishi in Japan drives where we want to go."
Online 'test drive'
The first incarnation of the new marketing strategy will be an ad campaign to launch the Outlander Sport compact crossover. The campaign will be the brand's biggest advertising initiative since the U.S. debut of the Lancer in 2007, said Mitsubishi spokesman Moe Durand.
TV commercials revolve around the campaign's online component, called "Mitsubishi Live Drive." The spots, which show an Outlander Sport moving around an empty tarmac with no driver, promote an online "test drive" that Mitsubishi will offer starting Nov. 1.
Mitsubishi Live Drive allows a Web surfer to pilot the vehicle for 90 seconds using the arrow keys on a computer. A camera hooked up in the driver's seat delivers a live video feed to the screen of the virtual test driver, who steers the vehicle around a closed course in Southern California.
The first TV commercial promoting Mitsubishi Live Drive began running last week. A second spot debuts Nov. 1. Print advertising begins Nov. 16.
Mitsubishi hopes the campaign will bring new excitement to the struggling brand. Adams said the goal is to get back on consumers' radar screens by doing something seen as innovative and cool.
"This is why it was important to get Mitsubishi out and talked about in terms of water-cooler buzz," he said. "We're expecting a lift for all the other vehicles as well."
Desperate for ads
The lack of a significant national advertising presence has long been a gripe of Mitsubishi dealers.
Sonny Nejad, general manager of Puente Hills Mitsubishi near Los Angeles, said the brand desperately needs a major vehicle ad campaign. "We're way behind in advertising," he said. "We didn't have a campaign for any of our cars for the past several years."
Nejad said he likes what he has seen of the Outlander Sport launch plans and hopes to see more along those lines.
Ramsay Gillman, chairman of Gillman Auto Group, which owns Mitsubishi stores in San Antonio and Houston, cited disagreement among his own Mitsubishi staff about the brand's ad strategy.
On the one hand, the Endeavor, Eclipse and Galant are relatively outdated models, and advertising those vehicles may not be a wise use of ad dollars, Gillman said.
"Sometimes if you have a car that's not as warm as it should be and you spend a lot of money advertising it, you're whipping on a dead horse," he said. On the other hand, his stores still need to move the metal.
"I still have Endeavors, I still have Eclipses, and I still have Galants that I've got to sell," Gillman said. "If we don't advertise them, it's a little hard to get people coming into your showroom asking for them."
IMO no mainstream consumer-focused brand can survive in the US without a decent midsize sedan offering. I'm sure the Galant will live on though it might be renamed. It's in desperate need of a ground-up redo, though, and I think Mitsu should take some inspiration from Hyundai: No V6 models but offer a turbo 4 (especially since they're good at turbos). Maybe reinvent the Galant as a sports sedan v. basic family hauler.
I also think it'd be a mistake to shutter the Normal plant. IIRC keeping a US manufacturing presence has tariff implications; i.e. it's cheaper to import if you also manufacture some here.
Not that I'm a Chrysler fan but maybe that relationship could be rebuilt. Mitsu & Fiat/Chrysler could jointly work on tech and share the Normal plant's manufacturing capacity. It's happened before (Normal made some Sebrings, for instance).
Maybe reinvent the Galant as a sports sedan v. basic family hauler.
That is a great idea and the car created from this inspiration would get more than just a passing glance from moi when it comes time ta part with hard-earned pesos.
And it would be the only way to go if an updated body was to use the fighter grill. Could maybe used a stretched Lancer platform to reduce R&D costs.
Think: 280-300HP turbo 2.4L 4 cyl adapted from Evo, 6 speed AT or CVT, FWD with AWD as an option, use existing tricks to reduce weight (aluminum roof a la Outlander, plastic front panels a la Outlander Sport), tune for a reasonable Cd, put in a variation of the Outlander/Lancer interior (maximize parts re-use), and keep the good stereo options.
Add features that are uncommon in the segment: Heated cloth seats, cooled leather seats, heated rear seats.
And try to reduce some feature costs like navi. In fact, de-couple navi & sunroof. Maybe do sunroof & leather in a package but leave navi as standalone or as oart of an overall tech package (with HIDs, adaptive cruise, etc.).
Keep the warranty & price it just under a similarly equipped Sonata.
I think you oughtta go to work for Mitsubishi, man. I really like those ideas a lot. Mitsubishi really needs to do a new version of Galant, and they could/should include the "jet-fighter" nose to the hilt.
Mitsu needs to look in its past to get inspiration for the future direction of the company. Their mistake was trying to match Honda and Toyota blow for blow when their reputation didn't quite match. They strayed from their core philosophy of sporty cars that wowed with their technology. They never should have increased the Galant's size. They need to recast the Galant as a smaller, techologically advanced sporty alternative to the staid Accords and Camrys. I think the size of the 2010 Optima is about right, but give it the swoopy styling of a VW CC or the new Optima/Sonata. Bring back the character of the 90 VR4, making things like a turbocharged DI engine and all wheel drive available. Offer a 6 speed manual on the turbo model. Surprise people by offering a small low pressure turbo engine with high gas mileage ratings on the base model, like a 1.8 DI turbo. My brother is adamant about wanting an all wheel drive turbo sedan with a manual tranny, which limits him to Audi, BMW, and Subaru. I'm sure there are others like him. There is a hole in the sedan market that Mitsu could easily fill. The Eclipse also needs to be downsized and loose weight and return to its turbo 4 banger roots. Build it off the Lancer platform and bring back GST and GSX models. The market is at a point of downsizing engines, just like the early 80s, and Mitsu could be the first to take advantage of the trend. The long warranty should be kept to improve people's perception of quality.
Mitsu also needs to bring a non electric version of the i to the US. It would be a unique more usable alternative to the Smart and iQ. I would have considered buying one if they had priced it around a Hyundai Accent, say $13000 with power windows/locks, AC, automatic. Mitsu is in a unique position of offering niche products that bigger automakers simply ignore. They can rebuild their name and reputation by offering these niche cars and then slowly move back up in the sales charts.
is my perception of Mitsubishi is spot on...that being that they presently are a world-class car manufacturer that is successful in certain markets and could focus better on the U.S. market.
The Eclipse could be a killer car again if Mitsu would re-model it...maybe make it RWD to fight the upcoming Scion FR-S from Toy-Mo-Co.
Mitsubishi Motors Reports Sales Up 32 Percent In October
Mitsubishi Motors North America (MMNA) today announced October sales of 5,111, an increase of more than 32 percent compared to October 2009. It was MMNA's fourth highest monthly total in two years. The 32 percent increase represents Mitsubishi's largest year-over-year percentage increase for a single month since July 2002.
“It appears that our sales and marketing efforts are coming to fruition at just the right time,” said MMNA President & CEO Shin Kurihara. “The coming months will see the first significant sales of our new Outlander Sport compact CUV, and interest in that vehicle should drive customers to our dealers and benefit our full product line.”
This week, MMNA has rolled out a ground-breaking marketing program for the Outlander Sport, through which consumers can register for an online “Live Drive” by visiting outlandersport.com.
October sales highlights include:
Lancer sales were up more than 52 percent compared to October 2009. Outlander sales were up more than 70 percent and are up 19.8 percent for the year to date. Endeavor sales nearly tripled compared to last year (up 288%) for the second month in a row and are up more than 17 percent for the year. Galant sales were up 23 percent compared to last October, and are up 6.8 percent year-to-date. Lancer Evolution sales were up more than 31 percent for the month.
I attended a local auto show this weekend and I'm happy to say that the only display that was packed with customers was the Mitsubishi display.
They had only Lancers and Outbacks on display but people were hanging all over them. I wanted to ask the sales guy about the future of Eclipse but couldn't get near him. With the other brands I had to beat the hungry sales people off with a stick.
I must say that even though I own an Eclipse I find the Lancer to be a really nice car. There is tremendous room inside that vehicle. And the price isn't that bad either.
I hope this bodes well for the Mitsu line in the US. I sure would like to know what the company plans for the Eclipse. When the 2008 is paid off I may just have to spring for a new Mustang if they don't have something for me.
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Mitsu generated some positive interest at the car show. That's definitely a good thing.
Oldfarmer, you're statements about the Eclipse got me wanting to "build" one so I went to Mitsu's website. And it hit me. The Eclipse's replacement may already be here as "The sportscar that's into whatever you're into" - the Lancer Sportback.
Especially since in recent years there's been competition that didn't exist before. The Altima coupe, for instance, wasn't available in the Eclipse's glory years.
But the honest truth is while the Eclipse & Spyder are fine cars, they're running on a dated platform and with years-old powertrain tech. Along with platform mates the Galant & Endeavor they're overdue for a major overhaul.
As you hinted, I think the next Eclipse would do better as a Lancer coupe with some variant of the Evo's turbo 4.
Miatas are the bellwether and they aren't selling.
"Mitsubishi Motors Corp.'s Eclipse has been a stalwart of the affordable sportscar scene, but the lineup's 3,868 sales through October reflect Mitsubishi's ongoing struggle to remain relevant in the U.S. market. Mitsubishi sold just 249 Eclipses in October and for the year, Eclipse coupe sales are down 32.5 percent and the Eclipse Spyder has plunged 45.8 percent."
The graph is scary, even if it does cover a 5 year period.
"...there's been competition that didn't exist before. The Altima coupe. for example..."
Funny you should mention the Altima. That was one of the cars on my short list when I bought the Eclipse in 2008. The Altima was $2000 or so more and the Mustang GT was about $5000 more at the time. It came down to price really. 3 years later the Eclipse looks positively dated. I don't care about the high tech electronic stuff like nav and blue tooth but it would be nice not to have a cast iron block in the motor. Even though my Eclipse is under 3400 pounds I'd like to see them come up with a lighter platform.
I still love that ultra-smooth Mitsu motor and the layout of the car just seems to fit me.
I don't know, it just seems like the other guys are moving ahead and Mitsubishi is standing still. Technology has advanced tremendously since the Eclipse redesign in 2006.
I've seen the Lancer Sportback and it just doesn't do it for me style-wise.
I could almost see myself in an EVO but not quite. If I was going to go that radical I might as well get a Mustang GT.
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The Mustang's great until you have to turn. An Evo lets you go fast in pretty much any direction. Have you caught the Top Gear video of an Evo VIII keeping up with a Lambo? http://www.topgear.com/uk/videos/evo-v-lambo-p1
Aren't Altimas always more expensive than the comparably equipped competition? Coupe or sedan, it doesn't seem to matter.
But yes, the Eclipse is dated. Dated body style. Dated engine. Dated platform.
For the Lancer Sportback, it's a 4-door hatch/psuedo-wagon. I can understand the styling being questionable for some. Better looking than the Crosstour IMO at least.
But make a 2-door coupe from the Lancer, use the suspension & powertrain from the Evo and you'd really have something.
As far as Mitsu standing still, I'll agree there hasn't been much of any advancement of the vehicles on the Eclipse/Galant/Endeavor platform - the ones built in the US. The Lancer platform has see the R&D benefit. Mitsu now needs to take those advancements and adapt them into a new platform for the E/G/E trio. And spend the $ to retool the Normal plant as needed. It's a huge facility; bigger than 50-some football field inside and parts of it are multi-level.
As I had mentioned on the IL blog, an alternative would be for Mitsu to acquire Suzuki and rebadge the Kizashi as the new Galant. Suzuki is struggling but the Kazoo is by all appearances quite an accomplishment.
I love those Top Gear shows. Someone linked another TG show a while back where a newer model EVO took on a WRI and blew it away. I remember that same commentator laughing as he said "I know that a Lambo can take this particular corner at 60mph.--- let's try it in the EVO at 100!"
That car would require a LOT of courage to drive everyday.
I think if they could make a Lancer Raliart that had the looks of the Eclipse I would be happy.
BTW, the new Mustang V-6 corners with a .95 lateral G (vs. my Eclipse's .84 G). Some of that comes from the use of summer tires but that's still pretty good from a solid rear axle car.
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For those who missed it, the segment was a challenge segment not too different from what Top Gear UK has been doing for years. Two skiers take a lift up a mountainside and then ski down v. Tanner taking a 7 mile pavement, gravel, and snow covered route. The paved route was a regular road complete with tourist traffic.
Personally I'd never brave the deep snow he was plowing through. Not even in my Outlander, which has a derivative of the Evo's AWD system.
oldfarmer and fushigi -- great posts. I enjoyed that quite a bit.
Hey oldfarmer, the only time I even come close to pulling .7g in a car is by mistake. You can sell me that Eclipse when you're done with it. It has like 30 miles on the odometer by now right?
Mitsubishi Motors of North America announced November sales
Wed, Dec 01, 2010
With the addition of the first full month of sales of the exciting new Outlander Sport compact CUV, Mitsubishi Motors North America (MMNA) today announced November sales were 4,306, an increase of more than 47 percent compared to November 2009. This represents Mitsubishi's largest year-over-year percentage increase for a single month in more than ten years (June 2000).
"The excitement of our sales team and dealer partners for the new Outlander Sport was contagious, because customers responded in a big way," said MMNA President & CEO Shin Kurihara. "And the showroom traffic translated into increases for Outlander and some of our other vehicles, as well."
In November, MMNA launched its ground-breaking marketing program for the Outlander Sport by holding the World's First Online Test Drive of a vehicle, through which 52,000 consumers participated in the Guinness Book of World Records-breaking "Live Drive" event by registering at outlandersport.com.
November sales highlights include:
Outlander sales were up 64 percent and are up more than 23 percent for the year to date. Endeavor sales nearly quadrupled compared to last year (up 329 percent) and are up more than 34 percent for the year. Galant sales were up almost 4 percent compared to last November, and are up 6.6 percent year-to-date. Lancer Evolution sales were up more than 46 percent for the month. Mitsubishi sales have increased 2.4 percent year-to-date.
An overall 2.4% rise beats a decline but given the number of cars they sell I'm not sure we can call it statistically significant.
The difference in Outlander sales probably represents the transition from '09 to '10 models. People in Oct-Nov '09 may have largely held off for the '10s like I did since (in V6 form) it offered better power & fuel economy.
I was at the dealer this morning for an oil change. I took the opportunity to sit in the Lancer & Outlander Sport. I liked the Sport's interior better. A key differentiator was that the area by the windows and above the glovebox are hard plastic on the Lancer but are padded, albeit firmly so, on the Outlander Sport. The seats in the Sport were fine though it seemed to have less room both in front & in back compared to the regular Outlander. I haven't compared specs to verify but in the Sport I had to move the drivers seat all the way back.
When my wife decides to replace her '01 Elantra, I'll have her look at the Lancer, Outlander Sport, Tucson, new Elantra, and Cruze. I'm going to guess the Tucson will be the biggest loser while the Elantra will be the winner. Personally I'd rather she got a hatch but she dislikes hatchbacks. Doesn't mind CUVs though.
"...It has like 30 miles on the odometer by now right?..."
LOL. No, it has a little more than that. About 23K after almost 3 years. It's my daily driver for most of the year but with winter coming I'll be leaving it in the garage a lot more and driving the old van to work. I won't drive it if there is any salt on the pavement.
As to pulling Gs I'm usually a pretty tame driver. However there is this one freeway ramp on the way to work which has a nice straight-away with a sharp turn at the end. At 5am I'm all alone and I usually can't resist jumping on it a little bit. I like it when the VVT comes in @ 4000 rpm an pushes me through the turn at about 70.
Then I drive the rest of the way like an old fart. :sick:
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Well, that's kind of like how the Miata is considered a sports car. It isn't particularly fast but being so low it corners really well. Handling counts for a lot.
Which is why I like that Mitsu went to some trouble on my Outlander to lower the center of gravity. So far I've slung it around corners just as fast, maybe even faster, than I did in my Galant.
IIRC the Outlander has the same lateral g as the Eclipse---.81 to .84 depending on which road test you read. While that isn't so impressive by sports car standards it is VERY impressive for SUVs.
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indeed it's very good for an SUV the size of the Outlander.
IIRC the Outlander has the same lateral g as the Eclipse---.81 to .84 depending on which road test you read. While that isn't so impressive by sports car standards it is VERY impressive for SUVs.
Comments
Anyway, here goes...I was told that If a foreign automobile manufacturer builds a transplant assembly factory in the U.S. then that same manufacturer can bring in two (2) assembled vehicles from its' own country - duty free - for every one (1) that it builds here. So, for every $16,000 Corolla that Toyota builds in the U.S. they can bring in two top of the line $60,000 Lexus vehicles. Or Avalons, Highlanders, etc..etc..
I was told this during a conversation about why the Chinese seem so intent about getting an assembly plant set up in the states. If this is actual trade policy then it would make sense for a manufacturer to set up something here. Especially in this day and age when brand loyalty is so fleeting and a mere $200.00 - $300.00 price difference can make a customer walk across the street to a competing dealer.
So, can anyone tell me if this is fact? Thanks in advance.
Mitsubishi Motors North America (MMNA) today announced August sales of 4,293, which is the fourth highest monthly sales total for Mitsubishi this year. (July sales were at 5,648)
Sales were 37 percent lower, compared to last August – a month whose sales were boosted to the highest monthly level since 2008 by the federal "Cash for Clunkers" program.
Two of Mitsubishi's highest volume vehicles continue to show sales increases year-to-date:
Galant sales are up 28.5 percent for the year
Outlander sales are up 11.3 percent for the year
Perhaps someone proficient in the language of texting cn ask 4 me.
Also,not trying to start a political discussion per se, but concerning the drop in August auto sales across the entire industry I have heard several economic pundits on different channels saying that if opposition party Republicans can capture the House, Senate (or both) in the midterm elections then auto sales will rise dramatically. The commentators claim that this will produce gridlock and freeze government spending programs giving potential customers the confidence to buy new cars. Sounds plausible.
I think the real reasons foreign companies open manufacturing facilities in the states are to save freight costs, to take advantage of currency differences and tax laws by shifting money around, and it's good politically to have a local presence where you sell stuff.
I think that electric vehicles will do very well in North America and worldwide. One of the best things is that improved battery packs can simply be installed in your current vehicle so you could possibly go from a 60-80 mpc battery to a 120-140 mpc battery upgrade in just the time it takes to install a new pack without purchasing a new vehicle..
I also checked out a new Outlander Sport. I didn't get to drive it but it had a sturdy feel to it when sitting behind the wheel. The AWD knob was exactly the same as the one in my 08 Outlander. It sits a bit higher than my Sportback and quite roomy with the rear seats down. I am definitly taking one of these for a spin next time I am at the dealership. I have had zero problems with my two other cars that contain the same engine as the Sport albeit in the 2.4 litre version as compared to the 2.0 version in the Sport. My 08 Outlander SE now close to 30k and my Lancer just over 10k are running flawlessly so far with great fuel mileage. Fuel mileage is really the only reason I would consider getting rid of my 04 Outlander and replacing it with a new Sport. I have 2 relatives, a cousin and a niece, that told me to let them know if I ever wanted to sell my 04 so I would not have a problem getting a good price on it but even at 83k it still runs great. The 04 mileage is averaging around 22 mpg so the new Sport - rated at 31 hwy - would be a nice improvement but it wouldn't make up for new car payments. I think I'll have to hold onto the 04 for the the time being but anyone in the market for a new CUV should check out the Mitsu Sport. a really nice looking vehicle. I hope it does well for them and I would recommend Mitsu listen to some of the gearheads on the net and at MOD 2010 and consider a Ralliart version of the Sport with the 4B11T engine or even the V6 that's in the Outlander GT. Mitsubishi has always hung their hat on the performance hook and a Ralliart Sport would really broaden their appeal.
Seems like Mitsu would release a Ralliart version of the Outlander Sport in the next few years since it already comes with the 4B11 engine. I think that Ralliart is only going to apply to their light pressure turbo cars. I don't think they would drop that V6 in it though due to weight. I'm just speculating.
Thanks for the update.
Mitsubishi Motors North America (MMNA) today announced last month was one of its best in nearly two years with September sales of 4,961, an increase of 5.3 percent compared to September 2009. MMNA has reported only three higher monthly sales totals since November 2008.
"Our September sales give us encouragement that consumers are returning to the market," said MMNA President & CEO Shin Kurihara. "Our momentum will accelerate the remainder of the year, because we are launching our all-new Outlander Sport CUV."
September sales highlights include:
•Lancer sales were up 71 percent compared to September 2009.
•Outlander sales were up 104 percent in September and are up 17 percent for the year to date.
•Endeavor sales more than tripled (up 324%) compared to last year and are up 7 percent for the year.
•Eclipse coupe sales were up 7 percent for the month, and Eclipse Spyder sales were up 7.5 percent.
•Lancer Evolution sales were up more than 45% in September.
Mitsubishi Motors North America, Inc., (MMNA) is responsible for all manufacturing, finance, sales, and marketing operations for Mitsubishi Motors in the United States. MMNA sells coupes, convertibles, sedans, sport utility vehicles, and light trucks through a network of more than 400 dealers. For more information, contact the Mitsubishi Motors News Bureau at (888) 560-6672 or visit media.mitsubishicars.com.
From what you mention I'm wondering if as it stands the i-MiEV wouldn't do well in crash tests. It really doesn't have much of anything for a front end.
Moving on .. I really liked the Outlander Sport. I expected it to be a shorter version of my Outlander GT but in reality there are many, many differences. It feels narrower. The front quarter-panels are made from recycled plastics and have give a la Saturn's of old. No split tailgate but still a decent amount of cargo space. I still want to drag my wife to drive one once they've been released; I think it'd make a good replacement for her '01 Elantra.
In MMNA news & info, while on the plant tour the guide revealed that they export to 32 different countries from that plant. During it's heyday in the '02 time frame they were making over 200K cars a year & ran a second shift. Sadly, it's just about a 10th that right now.
Evo sales are noted separate from Lancers. What about the Lancer Sportback? Are they lumped in with standard Lancers or should we assume their sales fell as well?
I really like this Outlander Sport a lot, I would consider trading our '08 Lancer GTS in for one of them in a few years. Beautiful new SUV from Mitsubishi. I don't know why Mitsu sales are suffering so much.
Partly it's all the dorks that go out and make a "safe" purchase of a Toyota Corolla over a Mitsubishi Lancer. They worry more about stupid stuff like resale value more than the car itself. And in the case of the Corolla, you get a better built car, more overall car too, with the Mitsubishi Lancer. You get better performance numbers and you get a better Warranty as well.
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Of course, the Honyotas do get better fuel economy. The Outlander Sport will get better than the CR-V and RAV-4 but then those CUVs are really competition for the regular Outlander. The Sport is more a competitor of the Tucson and the Sport does get better economy than the Tucson in both 2WD or AWD versions.
Yeah, but what you don't get is the fuel economy. That's the place where Corolla and Civic stand out, although it doesn't help Mitsu that they have 400 dealers as opposed to the 1000-1200 Honda and Toyo have.
But yeah, if you're into performance over fuel economy, forget Corolla. Toyota hardly sells any Corolla 2.5s. Sales are almost exclusively of the 1.8.
Then Mitsu's problem is that everybody and their mother has a compact car with a 2.5 in it making more than 150 hp and turning in decent numbers....but the bigger problem really is that the majority of the buyers in this class ARE looking for fuel economy, as most of these are bought to be solo commuters or a second car for work.
2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
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2014 Mini Cooper (stick shift of course), 2016 Camry hybrid, 2009 Outback Sport 5-spd (keeping the stick alive)
Despite U.S. slump, Mitsubishi sees rebound
Hans Greimel
Automotive News -- October 11, 2010 - 12:01 am ET
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How committed is Mitsubishi to the U.S.? Is quitting an option?
People have been asking me for the past six years whether Mitsubishi's going to withdraw from the market. But it never enters my mind. ... We have never thought about withdrawing from the U.S. market, and we will not do so.
Photo credit: TOSHIYUKI AIZAWA/BLOOMBERG
Thought Leadership
Mitsubishi Motors Corp. has fallen hard since its U.S. business peaked at 354,111 vehicles sold in 2002. In 2009, sales tumbled 45 percent, amid a 21 percent industrywide slide, to 53,986. In the first nine months of this year, sales dropped 3 percent to 41,392 in an overall market up 10 percent.
President Osamu Masuko faces a long list of structural problems at the carmaker's U.S. operations. Mitsubishi is struggling with an aging lineup of slow-selling, U.S.-made models such as the Galant, Eclipse and Endeavor. It is saddled with a factory in Normal, Ill., that operates way below capacity. And its more attractive import lineup is being hit hard by the yen's surge against the dollar.
Masuko, 61, spoke with Asia Editor Hans Greimel last month through an interpreter about his market outlook, the impact of exchange rates and plans for electric vehicles and other new models.
What's your assessment of the economy?
For the 2010 fiscal year [which ends March 31, 2011], the global economy seemed to undergo a moderate recovery. This is what we were hoping for. But then came the financial crisis in Europe. And we thought the economy would pick up more in the United States, but it's not recovering as much as expected.
So compared to our initial outlook, the reality is more severe. In this environment, what is causing us the biggest trouble is the appreciation of the yen. That is the biggest issue we have to overcome.
How is the yen's appreciation affecting Mitsubishi?
It's not just the yen's appreciation against the U.S. dollar. It's appreciating against the euro, the pound, the Australian dollar and the Canadian dollar. The losses we are experiencing in exports pose a very difficult situation for us. We are not able to raise prices that easily. The reason is the market is very competitive.
What can Mitsubishi do about it?
The Lehman shock of September 2008 had a big impact on the whole industry. Japanese automakers, including us, implemented emergency measures to cut costs and reduce expenditures. And we did as much as we could do. So there were no real big items left to cut or activities that would have a big impact.
After all that comes the appreciation of the yen. So it's not easy to reduce costs or expenses, because we don't have any more room. We've done what we could. If you think about shifting production overseas, we cannot do that on a short-term basis. Of course, on a mid- or long-term basis, we have a strategy. But it won't help you short term.
One example might be procuring more parts from overseas. That is something we could immediately do, and there's going to be an impact.
How can Mitsubishi make better use of its U.S. plant?
When we think about foreign exchange rates, we have to evaluate overseas plants in a different way. I really feel we have to make effective use of the plant. We are going to announce the fiscal year 2011 business plan by the end of this year. We will announce what to do with the U.S. plant at that time.
I cannot speak about it too concretely, but from what we know at the moment, it is not possible to continue with the models that we have had.
Your head of U.S. procurement and supply, Sandra Gillespie, just left the company. What kind of problems does that pose for your overhaul of the Illinois plant?
She left the company because of personal reasons. That was not our intention. But just because she left the company doesn't mean there will be an impact in our policies. The top management in the United States has changed many times, including the CEO. It's not a big issue. As a company, we're not working as individuals. We're working as an organization.
What are your U.S. sales goals this year and next?
This year is better than last year. And at the end of this year, we are launching the Outlander Sport in the United States, and we expect better results next year when it is counted in a full year of sales. Sales were 54,000 units in the 2009 fiscal year. In the current 2010 fiscal year, it will be 68,000 units, including the Outlander Sport. And fiscal year 2011 will further exceed this number.
Mitsubishi's U.S. sales peaked at 354,000 in 2002. What accounted for the tumble?
First of all, the overall market has shrunk. But we also took very active sales expansion policies. One or two years of those led to great losses that we didn't forecast. In the past we were engaged in fleet sales and incentives. We sold vehicles with zero or low interest rates.
What we learned is that we should not be selling vehicles in a way that is not an ordinary practice. Now we are driving our business very safely. You have to do business that fits your own size and capabilities. You shouldn't try to overstretch yourself.
What is the right size for Mitsubishi in the United States?
At Mitsubishi, we're always talking about what the best scale for our sales in the United States would be. We haven't really come up with a conclusion. But my personal opinion -- I don't know how many years it would take -- is our target could be around 200,000 units.
If we sell 200,000 units, we could probably produce at least 100,000 units at the plant in the United States and import 100,000 from Japan. This would help secure a minimum level of volume in the United States.
How will you improve U.S. sales?
To rekindle the U.S. market, we are introducing an electric vehicle next year and then a plug-in hybrid after that. We are very much oriented around environmentally friendly technologies. This is one of Mitsubishi's new pillars for penetrating different markets.
What other green technologies is Mitsubishi pursuing?
We have developed a next-generation clean diesel engine and just launched the product on Sept. 16. Society is demanding green technology from us. And when we look out 10 or 20 years, it is important for us to have this technology to retain a place in the industry.
Because we have been developing and producing electric vehicles, we were able to acquire a lot of new technology. We would like to apply technology developed through our electric-vehicle program to our gasoline and diesel programs as well.
Will Mitsubishi bring its diesel engine to the United States?
We could, but I
We could, but I believe diesel isn't so popular in Japan and the United States.
How difficult will it be for Mitsubishi to meet the new U.S. corporate average fuel economy regulations by the 2016 model year?
The new CAFE is very stringent and requires a high level of technology. It is a very difficult challenge for us and the entire industry, but we strongly believe we can handle it with the present technology we have.
Up until 2016, what we want to do is enhance our use of continuously variable transmissions, reduce weight and reduce air and rolling resistance. After 2016, the regulations will get tighter, so we would like to introduce electric vehicles or plug-in hybrids.
What are your expectations for incentives and marketing in the United States this year?
Incentives came down by about $270 per vehicle in the first quarter of fiscal year 2010 compared with the previous year, but the average incentive per vehicle still exceeded $3,000. But we'll be introducing a new car soon, so the total year's average incentives should settle somewhere lower than $3,000 per unit.
What effect will the Outlander Sport have on the brand's profile?
The Outlander Sport is selling well in other countries, so we have high expectations for the United States. As it is well-received, brand recognition will further improve. And this means there will be an impact on other models.
To accomplish this, we're hoping that total industry demand won't drop and will stay around the 12 million level, or at least 11.5 million. We have even higher expectations for 2011. We want it to exceed 12 million.
What is the status of your U.S. dealer network?
There are about 400 dealers in the United States right now. First there was the Lehman shock, and then came the problems at the Detroit 3. So dealers have undergone a lot of reshuffling. Some dealers have left the Big 3 and joined Mitsubishi. So the overall number of dealers has not increased or decreased much. But new and capable dealers have joined Mitsubishi, so we have high expectations.
I am sure the introduction of new models, including the environmentally friendly i-MiEV electric vehicle, into the American market will contribute to the revitalization of business.
I continue to drive and enjoy my wife and I's 2008 Mitsubishi Lancer GTS. What a great car, even though I am straying in my interests of late with the Toyota FT-86 RWD sports car in 4-door sedan form, it's fairly doubtful I will trade this puppy in. It's too good of a car. A ball ta drive. And reliable, strong and solid. I simpy love the car.
When it comes time to deal, it will more than likely be for a new Mitsubishi. The value, reliability and fun ta drive factor is simply unmatchable.
Rock on Mitsubishi!
There she sits, in all of her Rally Red glory, in her backyard parking space of our Nevada home.
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Still, he skirted the issue of what to do with the Galant/Eclipse/Endeavor trio and the US plant. The truth is they need to do the R&D and spend the retooling dollars to get all-new versions of these three. They could probably drop the Endeavor, though, if needed. But the Galant & Eclipse really need a new lease on life.
I sat in an Outlander Sport at MOD a few weeks back and it's a nice car. I think it'll compete well against the Tucson & Rogue.
Too bad the US is so Diesel-phobic; we could get an easy 20-40% boost in fuel economy if people would only buy them in meaningful quantities.
http://www.autonews.com/apps/pbcs.dll/article?AID=/20101018/RETAIL03/310189972
Mitsubishi ads focus on Outlanders, Lancers
Online test drive is in, and 3 models may be out
The Outlander Sport arrives in showrooms next month.
Ryan Beene
Automotive News -- October 18, 2010 - 12:01 am ET
CABO SAN LUCAS, Mexico -- Mitsubishi will focus its upcoming marketing on just two vehicle "families" -- Lancer and Outlander -- leaving the U.S.-built Galant sedan, Endeavor crossover and Eclipse coupe and Spyder out in the cold.
The new approach appears to preview the troubled brand's future U.S. model strategy, being formulated in Japan.
The Lancer and Outlander accounted for nearly two-thirds of the automaker's U.S. sales through September.
"They're our pillar models as we develop a strategy for growth," said Greg Adams, vice president of marketing and product planning for Mitsubishi Motors North America. "When you're as small as we are, you need to focus."
Mitsubishi offers two body styles and three significantly different trim levels for the Lancer small car, ranging from the nearly $15,000 base model to the more than $40,000 high-performance Lancer Evolution.
The Outlander crossover will be joined in November by a smaller vehicle, the Outlander Sport. The two nameplates are based on the GS platform.
The new marketing strategy is part of Mitsubishi's effort to end a U.S. sales drought. In 2007, the automaker sold 128,993 new vehicles in the United States. By the end of 2009, sales had plummeted to 53,986, and the brand is down 3 percent for the first nine months of this year.
The full details of the product plan will be unveiled next month by Mitsubishi Motors Corp. in Japan. The company also will lay out what it plans to do with the assembly plant in Normal, Ill., which builds the Galant, Endeavor and Eclipse coupe and Spyder. Those vehicles were conspicuously absent from the marketing strategy outlined during a press event here this month.
In a September interview with Automotive News, Mitsubishi Motors Corp. President Osamu Masuko said he hopes eventually to sell 200,000 vehicles annually in the United States. But he said overhauling the U.S. lineup, which has long leaned toward large sedans and SUVs, is essential to a turnaround.
"From what we know at the moment, it is not possible to continue with the models that we have had," Masuko said.
Adams, the North American marketing executive, said he didn't know what Japanese executives plan to do with the Galant, Eclipse and Endeavor.
"We have submitted a number of ideas about what we would like to do with all of the lineup," he said. "They're looking at it and how it fits with the overall strategy because Mitsubishi in Japan drives where we want to go."
Online 'test drive'
The first incarnation of the new marketing strategy will be an ad campaign to launch the Outlander Sport compact crossover. The campaign will be the brand's biggest advertising initiative since the U.S. debut of the Lancer in 2007, said Mitsubishi spokesman Moe Durand.
TV commercials revolve around the campaign's online component, called "Mitsubishi Live Drive." The spots, which show an Outlander Sport moving around an empty tarmac with no driver, promote an online "test drive" that Mitsubishi will offer starting Nov. 1.
Mitsubishi Live Drive allows a Web surfer to pilot the vehicle for 90 seconds using the arrow keys on a computer. A camera hooked up in the driver's seat delivers a live video feed to the screen of the virtual test driver, who steers the vehicle around a closed course in Southern California.
The first TV commercial promoting Mitsubishi Live Drive began running last week. A second spot debuts Nov. 1. Print advertising begins Nov. 16.
Mitsubishi hopes the campaign will bring new excitement to the struggling brand. Adams said the goal is to get back on consumers' radar screens by doing something seen as innovative and cool.
"This is why it was important to get Mitsubishi out and talked about in terms of water-cooler buzz," he said. "We're expecting a lift for all the other vehicles as well."
Desperate for ads
The lack of a significant national advertising presence has long been a gripe of Mitsubishi dealers.
Sonny Nejad, general manager of Puente Hills Mitsubishi near Los Angeles, said the brand desperately needs a major vehicle ad campaign. "We're way behind in advertising," he said. "We didn't have a campaign for any of our cars for the past several years."
Nejad said he likes what he has seen of the Outlander Sport launch plans and hopes to see more along those lines.
Ramsay Gillman, chairman of Gillman Auto Group, which owns Mitsubishi stores in San Antonio and Houston, cited disagreement among his own Mitsubishi staff about the brand's ad strategy.
On the one hand, the Endeavor, Eclipse and Galant are relatively outdated models, and advertising those vehicles may not be a wise use of ad dollars, Gillman said.
"Sometimes if you have a car that's not as warm as it should be and you spend a lot of money advertising it, you're whipping on a dead horse," he said. On the other hand, his stores still need to move the metal.
"I still have Endeavors, I still have Eclipses, and I still have Galants that I've got to sell," Gillman said. "If we don't advertise them, it's a little hard to get people coming into your showroom asking for them."
I also think it'd be a mistake to shutter the Normal plant. IIRC keeping a US manufacturing presence has tariff implications; i.e. it's cheaper to import if you also manufacture some here.
Not that I'm a Chrysler fan but maybe that relationship could be rebuilt. Mitsu & Fiat/Chrysler could jointly work on tech and share the Normal plant's manufacturing capacity. It's happened before (Normal made some Sebrings, for instance).
That is a great idea and the car created from this inspiration would get more than just a passing glance from moi when it comes time ta part with hard-earned pesos.
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Think: 280-300HP turbo 2.4L 4 cyl adapted from Evo, 6 speed AT or CVT, FWD with AWD as an option, use existing tricks to reduce weight (aluminum roof a la Outlander, plastic front panels a la Outlander Sport), tune for a reasonable Cd, put in a variation of the Outlander/Lancer interior (maximize parts re-use), and keep the good stereo options.
Add features that are uncommon in the segment: Heated cloth seats, cooled leather seats, heated rear seats.
And try to reduce some feature costs like navi. In fact, de-couple navi & sunroof. Maybe do sunroof & leather in a package but leave navi as standalone or as oart of an overall tech package (with HIDs, adaptive cruise, etc.).
Keep the warranty & price it just under a similarly equipped Sonata.
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Mitsu also needs to bring a non electric version of the i to the US. It would be a unique more usable alternative to the Smart and iQ. I would have considered buying one if they had priced it around a Hyundai Accent, say $13000 with power windows/locks, AC, automatic. Mitsu is in a unique position of offering niche products that bigger automakers simply ignore. They can rebuild their name and reputation by offering these niche cars and then slowly move back up in the sales charts.
The Eclipse could be a killer car again if Mitsu would re-model it...maybe make it RWD to fight the upcoming Scion FR-S from Toy-Mo-Co.
2012 Scion FR-S in Japanese "monkey-back red"
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Mitsubishi Motors North America (MMNA) today announced October sales of 5,111, an increase of more than 32 percent compared to October 2009. It was MMNA's fourth highest monthly total in two years. The 32 percent increase represents Mitsubishi's largest year-over-year percentage increase for a single month since July 2002.
“It appears that our sales and marketing efforts are coming to fruition at just the right time,” said MMNA President & CEO Shin Kurihara. “The coming months will see the first significant sales of our new Outlander Sport compact CUV, and interest in that vehicle should drive customers to our dealers and benefit our full product line.”
This week, MMNA has rolled out a ground-breaking marketing program for the Outlander Sport, through which consumers can register for an online “Live Drive” by visiting outlandersport.com.
October sales highlights include:
Lancer sales were up more than 52 percent compared to October 2009.
Outlander sales were up more than 70 percent and are up 19.8 percent for the year to date.
Endeavor sales nearly tripled compared to last year (up 288%) for the second month in a row and are up more than 17 percent for the year.
Galant sales were up 23 percent compared to last October, and are up 6.8 percent year-to-date.
Lancer Evolution sales were up more than 31 percent for the month.
The Outlander Sport is showing up at dealers so hopefully the November numbers will start to show them.
They had only Lancers and Outbacks on display but people were hanging all over them. I wanted to ask the sales guy about the future of Eclipse but couldn't get near him. With the other brands I had to beat the hungry sales people off with a stick.
I must say that even though I own an Eclipse I find the Lancer to be a really nice car. There is tremendous room inside that vehicle. And the price isn't that bad either.
I hope this bodes well for the Mitsu line in the US. I sure would like to know what the company plans for the Eclipse. When the 2008 is paid off I may just have to spring for a new Mustang if they don't have something for me.
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Oldfarmer, you're statements about the Eclipse got me wanting to "build" one so I went to Mitsu's website. And it hit me. The Eclipse's replacement may already be here as "The sportscar that's into whatever you're into" - the Lancer Sportback.
It's tough selling coupes.
Especially since in recent years there's been competition that didn't exist before. The Altima coupe, for instance, wasn't available in the Eclipse's glory years.
But the honest truth is while the Eclipse & Spyder are fine cars, they're running on a dated platform and with years-old powertrain tech. Along with platform mates the Galant & Endeavor they're overdue for a major overhaul.
As you hinted, I think the next Eclipse would do better as a Lancer coupe with some variant of the Evo's turbo 4.
Sportscars Continue as Recession-Recovery's Biggest Casualties (AutoObserver)
Miatas are the bellwether and they aren't selling.
"Mitsubishi Motors Corp.'s Eclipse has been a stalwart of the affordable sportscar scene, but the lineup's 3,868 sales through October reflect Mitsubishi's ongoing struggle to remain relevant in the U.S. market. Mitsubishi sold just 249 Eclipses in October and for the year, Eclipse coupe sales are down 32.5 percent and the Eclipse Spyder has plunged 45.8 percent."
The graph is scary, even if it does cover a 5 year period.
Funny you should mention the Altima. That was one of the cars on my short list when I bought the Eclipse in 2008. The Altima was $2000 or so more and the Mustang GT was about $5000 more at the time. It came down to price really. 3 years later the Eclipse looks positively dated. I don't care about the high tech electronic stuff like nav and blue tooth but it would be nice not to have a cast iron block in the motor. Even though my Eclipse is under 3400 pounds I'd like to see them come up with a lighter platform.
I still love that ultra-smooth Mitsu motor and the layout of the car just seems to fit me.
I don't know, it just seems like the other guys are moving ahead and Mitsubishi is standing still. Technology has advanced tremendously since the Eclipse redesign in 2006.
I've seen the Lancer Sportback and it just doesn't do it for me style-wise.
I could almost see myself in an EVO but not quite. If I was going to go that radical I might as well get a Mustang GT.
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Aren't Altimas always more expensive than the comparably equipped competition? Coupe or sedan, it doesn't seem to matter.
But yes, the Eclipse is dated. Dated body style. Dated engine. Dated platform.
For the Lancer Sportback, it's a 4-door hatch/psuedo-wagon. I can understand the styling being questionable for some. Better looking than the Crosstour IMO at least.
But make a 2-door coupe from the Lancer, use the suspension & powertrain from the Evo and you'd really have something.
As far as Mitsu standing still, I'll agree there hasn't been much of any advancement of the vehicles on the Eclipse/Galant/Endeavor platform - the ones built in the US. The Lancer platform has see the R&D benefit. Mitsu now needs to take those advancements and adapt them into a new platform for the E/G/E trio. And spend the $ to retool the Normal plant as needed. It's a huge facility; bigger than 50-some football field inside and parts of it are multi-level.
As I had mentioned on the IL blog, an alternative would be for Mitsu to acquire Suzuki and rebadge the Kizashi as the new Galant. Suzuki is struggling but the Kazoo is by all appearances quite an accomplishment.
I love those Top Gear shows. Someone linked another TG show a while back where a newer model EVO took on a WRI and blew it away. I remember that same commentator laughing as he said "I know that a Lambo can take this particular corner at 60mph.--- let's try it in the EVO at 100!"
That car would require a LOT of courage to drive everyday.
I think if they could make a Lancer Raliart that had the looks of the Eclipse I would be happy.
BTW, the new Mustang V-6 corners with a .95 lateral G (vs. my Eclipse's .84 G). Some of that comes from the use of summer tires but that's still pretty good from a solid rear axle car.
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The driver was screaming "I rather have the EVO than a jeep in this snow". He then began to laugh like a little kid and yell "I'm in love!"
The only complaint he had was that the EVO couldn't go off the trail into the trees like the skiers could.
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For those who missed it, the segment was a challenge segment not too different from what Top Gear UK has been doing for years. Two skiers take a lift up a mountainside and then ski down v. Tanner taking a 7 mile pavement, gravel, and snow covered route. The paved route was a regular road complete with tourist traffic.
Personally I'd never brave the deep snow he was plowing through. Not even in my Outlander, which has a derivative of the Evo's AWD system.
Full episode at http://www.history.com/shows/top-gear/videos/playlists/full-episodes#top-gear-co- bra-attack
Hey oldfarmer, the only time I even come close to pulling .7g in a car is by mistake. You can sell me that Eclipse when you're done with it. It has like 30 miles on the odometer by now right?
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Wed, Dec 01, 2010
With the addition of the first full month of sales of the exciting new Outlander Sport compact CUV, Mitsubishi Motors North America (MMNA) today announced November sales were 4,306, an increase of more than 47 percent compared to November 2009. This represents Mitsubishi's largest year-over-year percentage increase for a single month in more than ten years (June 2000).
"The excitement of our sales team and dealer partners for the new Outlander Sport was contagious, because customers responded in a big way," said MMNA President & CEO Shin Kurihara. "And the showroom traffic translated into increases for Outlander and some of our other vehicles, as well."
In November, MMNA launched its ground-breaking marketing program for the Outlander Sport by holding the World's First Online Test Drive of a vehicle, through which 52,000 consumers participated in the Guinness Book of World Records-breaking "Live Drive" event by registering at outlandersport.com.
November sales highlights include:
Outlander sales were up 64 percent and are up more than 23 percent for the year to date.
Endeavor sales nearly quadrupled compared to last year (up 329 percent) and are up more than 34 percent for the year.
Galant sales were up almost 4 percent compared to last November, and are up 6.6 percent year-to-date.
Lancer Evolution sales were up more than 46 percent for the month.
Mitsubishi sales have increased 2.4 percent year-to-date.
The difference in Outlander sales probably represents the transition from '09 to '10 models. People in Oct-Nov '09 may have largely held off for the '10s like I did since (in V6 form) it offered better power & fuel economy.
I was at the dealer this morning for an oil change. I took the opportunity to sit in the Lancer & Outlander Sport. I liked the Sport's interior better. A key differentiator was that the area by the windows and above the glovebox are hard plastic on the Lancer but are padded, albeit firmly so, on the Outlander Sport. The seats in the Sport were fine though it seemed to have less room both in front & in back compared to the regular Outlander. I haven't compared specs to verify but in the Sport I had to move the drivers seat all the way back.
When my wife decides to replace her '01 Elantra, I'll have her look at the Lancer, Outlander Sport, Tucson, new Elantra, and Cruze. I'm going to guess the Tucson will be the biggest loser while the Elantra will be the winner. Personally I'd rather she got a hatch but she dislikes hatchbacks. Doesn't mind CUVs though.
LOL. No, it has a little more than that. About 23K after almost 3 years. It's my daily driver for most of the year but with winter coming I'll be leaving it in the garage a lot more and driving the old van to work. I won't drive it if there is any salt on the pavement.
As to pulling Gs I'm usually a pretty tame driver. However there is this one freeway ramp on the way to work which has a nice straight-away with a sharp turn at the end. At 5am I'm all alone and I usually can't resist jumping on it a little bit. I like it when the VVT comes in @ 4000 rpm an pushes me through the turn at about 70.
Then I drive the rest of the way like an old fart. :sick:
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Which is why I like that Mitsu went to some trouble on my Outlander to lower the center of gravity. So far I've slung it around corners just as fast, maybe even faster, than I did in my Galant.
IIRC the Outlander has the same lateral g as the Eclipse---.81 to .84 depending on which road test you read. While that isn't so impressive by sports car standards it is VERY impressive for SUVs.
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IIRC the Outlander has the same lateral g as the Eclipse---.81 to .84 depending on which road test you read. While that isn't so impressive by sports car standards it is VERY impressive for SUVs.
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