Mitsubishi and Nissan Form Alliance
We at Don Robinson Mitsubishi are excited and intrigued by the announcement that Mitsubishi has formed an alliance with Renault-Nissan. Renault-Nissan has purchased a 34% controlling stake in Mitsubishi Motors, which makes the partnership mirror the decision in 1999 which created Renault-Nissan.
The two automakers have created and signed a Basic Agreement which is an outline of the parameters of the partnership. Budgets may now have a stronger bottom line, since costs will now be lowered. This is due to the fact that both brands are now going to be making joint purchases and joint plant utilization.
In addition to benefiting the budget for both Mitsubishi and Nissan, Mitsubishi and Nissan will share technological and engineering developments. This will help to create even better automobiles and allow for common vehicle platforms.
Nissan and Mitsubishi have partnered together in the past, so the new arrangement is not a drastic change. There may be a few changes in company leadership, but in the near future there may be a more binding Alliance Agreement to solidify the new arrangement. Only time will tell how close the two companies become and what new technologies and vehicles may be products of the new partnership.
We hope this new relationship is the beginning of great things to come for both Mitsubishi and Nissan, and that both brands can help create better vehicles.