Mitsubishi's Exit From The Australian Auto Industry

when did mitsubishi stop making cars in australia

Mitsubishi Motors Australia Limited (MMAL) is a subsidiary of Mitsubishi Motors Corporation, a Japanese multinational automobile manufacturer. In 1980, Mitsubishi Motors Corporation entered the Australian market by acquiring Chrysler Australia, which was struggling financially. This acquisition marked the beginning of Mitsubishi's local vehicle manufacturing operations in the country. However, Mitsubishi's Australian journey encountered challenges, including financial woes, recalls, and declining sales. Despite some successes, such as the popular Magna model, Mitsubishi ultimately ceased production at its Tonsley Park plant in March 2008, marking the end of its local manufacturing presence in Australia.

Characteristics Values
Year Mitsubishi Motors Australia was established 1980
Previous name Chrysler Australia
Year Mitsubishi stopped making cars in Australia 2008
Number of years Mitsubishi made cars in Australia 28
Number of cars produced in Australia Over 1 million
Number of employees at one stage 5,000
Number of employees made redundant in 2008 500
Number of employees who stayed for another 12 months 430
Investment in Mitsubishi 380 $600 million
Number of cars produced daily before production scaled back 90
Number of working days before working week was reduced 5
Number of working days after working week was reduced 4
Number of jobs shed to cut costs 10,000
Number of workers at Mitsubishi's Australian plant facing job loss threats 3,400
Budget for Mitsubishi Research and Development Australia $30 million

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Mitsubishi Motors Australia Limited (MMAL)

Mitsubishi became the third Japanese carmaker to build its own vehicles in Australia after Toyota and Nissan. The purchase of Chrysler's plants in South Australia allowed the three Japanese brands to control 46% of the Australian new car market after the Chrysler sale.

MMAL began vehicle manufacturing in 1980, continuing the production of the popular Sigma range of vehicles under the Mitsubishi name until 1987. The Magna, released in 1985, replaced the Sigma. The Magna was a success in Australia, with its wider body and powerful engine. Colt production, which commenced in 1982, ended in 1990.

In 2003, MMAL established Mitsubishi Research and Development Australia (MRDAus) with a budget of $30 million. MRDAus was the fourth global Mitsubishi Research and Development Centre. In 2006, MMAL introduced the Mitsubishi i kei car, its first new model in 29 months.

In October 2005, MMAL introduced the Mitsubishi 380 to the Australian market, replacing the Mitsubishi Magna. However, due to low sales, MMAL ceased production of the 380 at the Tonsley Park plant in March 2008, marking the end of Mitsubishi's vehicle manufacturing in Australia. Since then, the company has been exclusively a vehicle importer.

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Chrysler Australia

Mitsubishi Motors Australia Limited (MMAL) is a fully owned subsidiary of Mitsubishi Motors Corporation of Japan. The company was established in 1980 and began vehicle manufacturing that year after taking over the facilities of Chrysler Australia. Australian production by MMAL ceased in 2008, and since then, the company has been exclusively a vehicle importer.

In the 1950s, Chrysler Australia assembled North American Chrysler passenger cars and trucks. Its most popular car in this decade was the US-sourced badge-engineered trio: Plymouth Cranbrook, Dodge Kingsway, and De Soto Diplomat, each based on the 1954 US Plymouth. A coupe utility variant was also developed by Chrysler Australia and marketed in nine different versions. The Plymouth sedan was a popular choice for taxicab usage. However, the rise in popularity of the Holden during this decade led to the decline of this range of cars. In 1957, Chrysler Australia consolidated each of the badge-engineered marques in one car—the Chrysler Royal. This was a facelifted version of the 1954 Plymouth that continued in production until 1963.

The saving grace for Chrysler at this time was the French Simca Aronde—a popular 4-cylinder compact car that Chrysler Australia assembled at their Forestville factory. Local engineers developed an Aronde station wagon unique to Australia, with a then-novel wind-down rear window and tailgate.

In 1962, Chrysler Australia assembled the American Plymouth Valiant, marketed as the Valiant. By 1963, they had developed a local version, the AP5 Valiant, with distinctive styling giving the car a separate identity from the US Plymouth and Dodge variants. Through the 1960s, Chrysler expanded the Valiant range, with 2-door hardtop, long wheelbase (VIP), and sporty (Pacer) variants. In 1966, with the Chrysler USA acquisition of the British Rootes Group, Chrysler Australia took over the Rootes Australia operation and their Port Melbourne factory. The principal Rootes model sold in Australia was the Hillman Hunter, which became a steady seller for Chrysler until 1973.

In 1970, Chrysler Australia introduced the unique-to-Australia "Hemi" 6-cylinder engine, which became the most powerful 6-cylinder engine produced in Australia. In 1971, after acquiring a 15 percent interest in Mitsubishi Motors Corporation in 1971, Chrysler Australia began building Mitsubishi-designed Chrysler-branded vehicles, namely the Chrysler Valiant Galant (later Chrysler Galant), based on the 1972–1977 Mitsubishi Galant, and the Chrysler Sigma, a variant of the 1977–1985 Mitsubishi Galant. The Chrysler by Chrysler is an automobile produced by Chrysler Australia from 1971 to 1976. It is an extended wheelbase, luxury variant of the Australian-developed Chrysler Valiant. The original CH Series Chrysler was introduced in November 1971, replacing the Chrysler VIP as Chrysler’s competitor to the Ford Fairlane and the Statesman in the Australian prestige car market. It was offered in four-door Sedan and two-door Hardtop models.

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Mitsubishi 380

The Mitsubishi 380 was introduced to the Australian market in October 2005 as the replacement for the Mitsubishi Magna. The 380 was the sole vehicle being built at Mitsubishi's Australian assembly plant at Clovelly Park. The mid-size car was produced between 2005 and 2008 and was available only as a sedan. The 380 was the successor to the Mitsubishi Magna/Verada line of vehicles, first introduced in 1985 (1991 for the Verada).

The 380 cost $600 million to bring to market, with Mitsubishi Australia re-engineering the American-market Galant to feature a stiffer body, a full-size spare wheel, and improved suspension. The name 380 was chosen as a fresh start to Mitsubishi's sale of its sole Australian-made vehicle, given that the Magna name was now synonymous with a slow-selling vehicle. The car was also differentiated by its front-end design.

The 380 was marketed as "a new class of car", and it was powered by a 3.8-litre V6 engine with 175kW and 343Nm. It was available with a five-speed manual or automatic transmission. Despite the initial investment and high hopes, the 380 did not perform well in terms of sales. Even before its launch, it was stigmatised as the "make or break" model for Mitsubishi Australia. The company's financial woes and the cancellation of certain programs also impacted the vehicle's prospects.

Mitsubishi attempted to boost sales by updating the line-up with the Series II in April 2006 and the Series III revision in July 2007, mainly with cosmetic changes. However, these updates ultimately failed to lift sales, and Mitsubishi ceased manufacturing of the 380 in March 2008, ending Australian production by the Japanese manufacturer. A total of 32,044 Mitsubishi 380s were produced, of which 30,195 were sold in Australia.

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Mitsubishi Colt

Mitsubishi Motors Australia Limited (MMAL) ceased its vehicle manufacturing operations in 2008 and has since been exclusively a vehicle importer. The company was established in 1980 when the Japanese automaker bought out Chrysler Australia for $79.4 million (approximately $371 million when adjusted for inflation).

Now, onto the Mitsubishi Colt. The "Colt" nameplate was first introduced in 1962, starting as a line of small cars sold predominantly in Japan. These models continued in various forms until 1971. The Colt was the first nameplate used by Mitsubishi Motors for passenger vehicles, and the initial vehicle with this name was the Colt 600, which was powered by a 594 cc NE35B OHV air-cooled straight-twin engine.

From 1978 to 2002, the nameplate was used for export versions of the Mirage in markets such as Europe and Australia. During this period, five generations of Mirage-based Colts were sold, with new generations released in 1983, 1987, 1991, and 1995. In Australia specifically, the Colt was built by Mitsubishi Motors Australia from 1982 to late 1989. By the time production ended, the Colt hatch and sedan were already well past their prime, with the Lancer, its replacement, being two generations ahead.

In 2002, Mitsubishi released a new Colt in Japan, designed by Olivier Boulay and built on the same platform as the Smart Forfour. Between 2002 and 2013, the nameplate was used for a subcompact hatchback and its derivative body styles, which replaced the Mirage line. During this time, the Colt was also launched in Europe and Australia in 2004, with models featuring fuel-injected petrol engines and turbocharged options. The Mitsubishi Colt has been on sale in its current form since 2004, with a facelift in 2008 introducing the Evo-style nose that helps it stand out on the road.

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Mitsubishi Magna

Mitsubishi Motors Australia Limited (MMAL) was established in 1980 when the Japanese automaker bought out Chrysler Australia for $79.4 million. The company began vehicle manufacturing that same year, taking over the facilities of Chrysler Australia.

The Mitsubishi Magna, introduced in 1985, was one of the most significant vehicles introduced by Mitsubishi Australia. Marketed as "a new class of car", the Magna was a success in Australia. It was initially powered by a carburetted 2.6-litre four-cylinder engine with 85kW and 198Nm, similar to the Holden Commodore. Later, fuel-injected Magna variants had 93kW. Buyers could choose between a five-speed manual or four-speed automatic. The Magna was engineered to be wider than its Japanese donor model to suit the Australian market and compete with the popular Ford Falcon and Holden Commodore.

The Magna was replaced by the Mitsubishi 380 in 2005, although some sources state that the last Mitsubishi 380 sedan left the production line on 27 March 2008. The 380 was a redesign of the Magna, which had seen sales drop dramatically towards the end of its life. The Magna name was not considered for the car as it had become too closely associated with aggressive sales tactics.

The Mitsubishi Magna remains a popular choice on the second-hand market, with prices ranging from $2,860 to $6,600 for the latest year the model was manufactured.

Frequently asked questions

MMAL started manufacturing vehicles in 1980.

The first car model Mitsubishi manufactured in Australia was the Sigma.

Mitsubishi stopped manufacturing cars in Australia in 2008.

The last car model Mitsubishi manufactured in Australia was the 380 sedan.

After ceasing production in 2008, Mitsubishi Australia became an exclusive vehicle importer.

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