Mitsubishi to halt Lancer production in PH

ABS-CBN News

Posted at Jul 10 2014 08:28 PM | Updated as of Jul 11 2014 08:49 PM

MANILA, Philippines - Mitsubishi Motor Philippines Corp. (MMPC) will halt production of the Lancer in the Philippines next year.

MMPC will no longer produce the Lancer when it moves to its new plant in Laguna in January 2015. The company will start importing the vehicle from Japan.

However, MMPC said it will start producing another model, either a small car or a sport utility vehicle, at the Sta. Rosa plant. The company had earlier purchased the facility from Ford Philippines.

MMPC president and CEO Hikosaburo Shibata said the decision on what type of vehicle will be produced and the timing of the production would depend on the outcome of the Automotive roadmap and support given to automotive assemblers.

Shibata said MMPC will shift all production for L300 and Adventure models from Cainta to Sta. Rosa starting January 2015.

A company official said Lancer production is being halted because of the expense involved in transferring the welding robots from Cainta to Laguna. Instead, the welding robots will be reconfigured for other uses at the Cainta plant.

The Mistubishi Lancer is competing against Toyota Altis, Honda Civic, Nissan Sylphy among others, and only sells around 100 units a month.

MMPC will focus on production of the Mistubishi Adventure and L-300, banking on demand for shuttle vans in the country.

The company is hoping to raise the current production at the Cainta facility to 17,000 in 2014 from 15,000 a year ago. It also expects sales to jump to 50,000 units this year.

At present, MMPC imports the Pajero and trucks from Japan, and Mirage G4, Montero Sport and Strada from Thailand.