Mitsubishi Stakes Out More Fertile Ground

Los Angeles - Admitting that the company may have mortally wounded itself in its home market of Japan by deceiving customers, Mitsubishi says it will begin making cars in South America, a market it has ignored in the past. What's more, Mitsubishi will use existing DaimlerChrysler assembly operations in South America and expects to have the first Latin American model rolling off the line in 2005. That first model is likely to be the company's new mini Z Car.

The most likely location for a South American plant is in Brazil, where DCX has underutilized capacity.