Mitsubishi is giving U.S. dealers positive signals with the promise of updated products to revive its aging lineup.
The company said last week that it will deliver a new-generation Outlander midsize crossover in early 2021, built on the architecture of alliance partner Nissan’s bestselling Rogue.
The announcement was welcome news to Mitsubishi’s long-suffering retailers — particularly since it followed a June shareholders meeting in Japan at which Mitsubishi Motors Corp. CEO Takao Kato said the automaker would scale back growth efforts in global “megamarkets,” a term the company later said could include North America.
In addition to the redesigned and reengineered Outlander, Mitsubishi will update three other models.
“Between now and the end of the second quarter of 2021, Mitsubishi Motors North America will launch three considerably revised vehicles and one all-new, ground-up redesign, proof of the company’s commitment to deliver high-quality, top-value, leading-edge technology vehicles in the U.S.,” the company said.
The vehicles to be freshened are the Mirage subcompact car, the Eclipse Cross compact crossover and the plug-in hybrid version of the Outlander, which is considered a separate model. The one other model in Mitsubishi’s lineup, the Outlander Sport subcompact crossover, was refreshed for the current model year.
The product initiative could ease concerns about a retreat from the U.S., where Mitsubishi last year posted its best sales performance since 2007 but reached just 121,049 vehicles across 350 dealerships.
The announcement suggests Mitsubishi intends to keep fighting in North America for now.
The fourth-generation Outlander is eagerly sought by Mitsubishi dealers to inject some fresh blood into the brand.
Mitsubishi intends to leverage its alliance with Nissan, which has deeper pockets for vehicle development despite its own sales challenges in the U.S.
The current Outlander debuted for the 2014 model year and is typically Mitsubishi’s bestselling model. Dealers originally expected an update in the fourth quarter of this year. They have expressed confidence that the redesigned crossover will help redefine the brand in the U.S. as fresh and modern.
Although it will ride on architecture shared with the Rogue, the Outlander will use Mitsubishi’s design language, “with a bold, aggressive and distinctive appearance,” Mitsubishi said.
The company also said the Outlander will be “loaded with technology and significant interior refinements” in addition to an exterior redesign. “This game-changing vehicle will surprise many,” the automaker said.
In part because of the coronavirus pandemic, Mitsubishi’s U.S. sales fell 58 percent to 12,197 vehicles in the second quarter, the automaker reported, and deliveries declined 33 percent to 47,760 in the first half.
Last month’s shareholders meeting left some dealers feeling uncertain about the brand’s future.
Kato told shareholders that Mitsubishi was struggling to compete in the world’s largest markets.
“We aim to increase sales in the regions where we can offer our core products,” Kato said. “We will gradually reduce our commitment to megamarkets.”