japan news
Economy 10/25/2023
Tokyo – (Jiji Press) – Japanese company Mitsubishi Motors announced on Tuesday that it will stop producing cars in China.
For local production, the automaker established a joint venture with Guangzhou Automotive Group Corporation and Japanese trading house Mitsubishi Corporation in 2012. Shares of Japanese companies in the joint venture will be transferred to the Chinese company.
Mitsubishi Motors will suffer an extraordinary loss of 24.3 billion yen for the current fiscal year ending March 2024 as a result of the withdrawal. But the company said there is no change to its earnings forecast for this year at this stage.
In China, the transition to electric vehicles is progressing rapidly. Mitsubishi Motors has lagged in this trend, with its profitability there deteriorating.
“The shift to electric vehicles is accelerating faster than expected, and consumers are rapidly undergoing significant changes in their brand and segment choices,” the automaker said in a statement.
(Original text in English, Jiji Press)
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2023-10-25 00:18:25
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