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Report – Mitsubishi to give Chrysler a model for Asia

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Report - Mitsubishi to give Chrysler a model for Asia

Using models from another carmaker with its own badge stamped on is no uncommon sight within the automotive world, and the latest move of the type belongs to Mitsubishi and Chrysler.

Japan’s business daily Nikkei reports that Fiat Chrysler Automobiles is expected to put in place a deal where Mitsubishi motors will give its Attrage sedan to Chrysler, for the US automaker to use under its own name in Asian markets, starting later this year.

Mitsubishi has just started manufacturing the sedan at a factory it owns in Thailand and the Chrysler brand will use them under its own name for markets like China (and a few others). The Japanese paper added the deal is expected to be officially announced sometimes next week, as Chrysler seeks further expansion in Asian markets by cutting the cost of developing a new model from scratch, instead relying on the affordable and fuel-efficient model made by Mitsubishi.

The Japanese automaker is already doing very well in the markets targeted by Chrysler, as the Southeast Asia markets already account for 25% of the automaker’s global sales and in the next period it aims to further boost deliveries in the region by around 50%. On the other hand, Fiat Chrysler desperately needs a winner here, as in China for example the company only has command of 0.6 % of the world’s biggest single auto market.

Via Automotive News Europe

by Aurel Niculescu (my Google+) - Friday, June 27th, 2014 - filed under Chrysler, Industry, Mitsubishi, News. Image credit: .
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