Mitsubishi Plans to Re-Enter Pickup Truck Market With Vehicle Jointly Built With Chrysler

DETROIT December 16, 2003; John Porretto writing for the AP reported that Mitsubishi Motors Corp.'s North American arm plans to re-enter the pickup truck market with a vehicle to be jointly built by DaimlerChrysler AG's Chrysler Group, which owns a stake in the Japanese automaker.

The trucks will be built at Chrysler's Warren Truck Assembly Plant near Detroit, where the mid-size Dodge Dakota pickup and full-size Dodge Ram are made.

Mitsubishi's version will be a mid-size offering and share technology with the Dakota, but the automakers said each model will have a distinct design.

Chrysler, whose German-American parent owns 37 percent of Mitsubishi Motors, will begin production of its next-generation Dakota next year. Mitsubishi plans to introduce its new truck in 2005.

"We're excited to expand our product offering ... and at the same time leverage our alliance with DaimlerChrysler," said Finbarr O'Neill, co-chairman and chief executive of Mitsubishi Motors North America Inc.

Mitsubishi last sold a pickup in North America, the compact Mighty Max, in 1997. Spokeswoman Janis Little said the model was discontinued because of waning demand but continues to be built overseas. She said the automaker opted not to import another pickup because "it's been difficult to find one that met American tastes."

Mitsubishi has yet to release the name, price or estimated volume for the new truck, Little said.

The Japanese automaker's U.S. business is off dramatically this year. Through November, U.S. sales were down nearly 24 percent from a year ago. Observers say an aging product lineup and lackluster consumer incentives have hurt business.

Mike Wall, an analyst with the forecasting firm CSM Worldwide, said a mid-size pickup will give Mitsubishi an entry in a field already occupied by models such as the Toyota Tacoma, Ford Ranger, Chevy Colorado and GMC Canyon.

"This won't pull them out of the doldrums per se, but it helps fill a gap in their lineup," Wall said