Mitsubishi isn’t just in the doldrums in India, the Japanese automaker is struggling in the European market as well with sales falling year after year, for the last three years.
Now the company has announced that it will stop production at its Dutch factory by the end of the year. The NedCar facility currently builds the Mitsubishi Colt supermini and Mitsubishi Outlander SUV, but reports say annual production at the plant has dipped below 50,000 units.
The factory was originally a DAF facility, changing over to Volvo, and later, in 1991, was split between the S/V40 and the Mitsubishi Carisma. In 2001, Mitsubishi took over entirely, and Volvo stopped production there in 2004.
Attempts were being made at keeping the European factory’s doors open with another model, however Mitsubishi has said between keeping its working paid, dealing with exchange rates, and the anticipated European new car market shrinkage, it no longer seemed feasible.
There are rumors that another automaker may take over Mitsubishi’s plant as a means of salvaging its 1,500 employees.
Source – AutoCar