Mitsubishi Motors Australia
Encyclopedia
Mitsubishi Motors Australia Limited (MMAL) is a fully owned subsidiary of parent company Mitsubishi Motors Corporation of Japan. Its Australian administrative headquarters are located at Tonsley Park (Clovelly Park, South Australia
Clovelly Park, South Australia
Clovelly Park is an inner southern suburb of Adelaide in the local government area of the City of Marion. Before becoming an 'advanced' suburb, it was a farm and vineyard. It has a population of around 2,700. The borders are defined by Daws Road to the north, South Road to the east, Sturt Road to...

), with branch offices in Brisbane
Brisbane
Brisbane is the capital and most populous city in the Australian state of Queensland and the third most populous city in Australia. Brisbane's metropolitan area has a population of over 2 million, and the South East Queensland urban conurbation, centred around Brisbane, encompasses a population of...

, Sydney
Sydney
Sydney is the most populous city in Australia and the state capital of New South Wales. Sydney is located on Australia's south-east coast of the Tasman Sea. As of June 2010, the greater metropolitan area had an approximate population of 4.6 million people...

, Melbourne
Melbourne
Melbourne is the capital and most populous city in the state of Victoria, and the second most populous city in Australia. The Melbourne City Centre is the hub of the greater metropolitan area and the Census statistical division—of which "Melbourne" is the common name. As of June 2009, the greater...

 and Perth
Perth, Western Australia
Perth is the capital and largest city of the Australian state of Western Australia and the fourth most populous city in Australia. The Perth metropolitan area has an estimated population of almost 1,700,000....

. The company was established in 1980 and began vehicle manufacturing in that year, having taken over the facilities of Chrysler Australia
Chrysler Australia
Chrysler Australia is the importer of Chrysler, Jeep and Dodge vehicles for sale in the Australian marketplace. However, there had previously been a "Chrysler Australia Ltd" which had operated as a vehicle manufacturer in Australia from 1951 until 1980....

. Australian production ceased in 2008 and since that time the company has been exclusively a vehicle importer. MMAL operates spare parts facilities in Adelaide
Adelaide
Adelaide is the capital city of South Australia and the fifth-largest city in Australia. Adelaide has an estimated population of more than 1.2 million...

 and Sydney.

Chrysler

Construction of the vehicle assembly plant at Tonsley Park was commenced by the then owners, Chrysler Australia
Chrysler Australia
Chrysler Australia is the importer of Chrysler, Jeep and Dodge vehicles for sale in the Australian marketplace. However, there had previously been a "Chrysler Australia Ltd" which had operated as a vehicle manufacturer in Australia from 1951 until 1980....

, in 1963. The assembly plant was opened in October 1964, with Chrysler's previous plant at Keswick then shut down and sold to a furniture retailer.

In 1968, Chrysler opened an engine manufacturing plant south of Adelaide at Lonsdale
Lonsdale, South Australia
Lonsdale is an industrial suburb located south of Adelaide, South Australia, within the City of Onkaparinga.Lonsdale was farmed from shortly after European settlement until the 1950s, when the South Australian Housing Trust acquired much of the land for industrial use...

, to provide engines for the popular Chrysler Valiant
Chrysler Valiant
The Chrysler Valiant is a passenger car which was introduced by Chrysler Australia in 1962 with production ceasing in 1981. Initially a rebadged locally assembled Plymouth Valiant from the U.S., the Valiant range was sold throughout Australia and New Zealand, as well as South Africa...

 models that were being produced at their Tonsley Park facility.

Mitsubishi takeover

After the acquisition by parent company Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....

 of 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
Mitsubishi Galant
The first generation of the car, initially known as the Colt Galant, was released in December 1969. The design was dubbed "Dynawedge" by Mitsubishi, referring to the influence of aerodynamics on the silhouette. Three models were available, powered by the new 'Saturn' engine in 1.3 or 1.5 L ...

 and the Chrysler Sigma
Chrysler Sigma
The Chrysler Sigma is a version of the Mitsubishi Galant automobile that was built by Chrysler Australia in Adelaide from 1977. When Mitsubishi Motors Australia took over Chrysler Australia's manufacturing facilities in 1980, they renamed the vehicle the Mitsubishi Sigma...

, a variant of the 1977–1985 Mitsubishi Galant
Mitsubishi Galant
The first generation of the car, initially known as the Colt Galant, was released in December 1969. The design was dubbed "Dynawedge" by Mitsubishi, referring to the influence of aerodynamics on the silhouette. Three models were available, powered by the new 'Saturn' engine in 1.3 or 1.5 L ...

. In 1979 Mitsubishi Motors Corporation and Mitsubishi Corporation each acquired a one sixth equity in Chrysler Australia and in April 1980 the two companies purchased the remaining shares in the company from the US Chrysler Corporation. The company name was changed to Mitsubishi Motors Australia Limited in October 1980. Production of the popular Sigma range of vehicles continued under the Mitsubishi name until 1987 with its eventual replacement, the Magna
Mitsubishi Magna
The Mitsubishi Magna was a mid-size car offered between May 1985 and September 2005 by Mitsubishi Motors Australia Limited . Manufactured at the Tonsley Park assembly plant, Magna spanned three generations before being replaced by the Mitsubishi 380...

, having been released in 1985. Colt
Mitsubishi Colt
The Mitsubishi Colt is a vehicle built by Mitsubishi Motors since 1962. It was first introduced as a series of kei cars and subcompact cars in the 1960s, and then as the export version of the Mitsubishi Mirage hatchback in the 1980s and 1990s...

 production, which had commenced in 1982, ended in 1990, with no locally manufactured replacement.

The Magna, like its forebear the Sigma, was based on the Galant. This time, input from MMAL resulted in a wider car than the donor model a station wagon
Station wagon
A station wagon is a body style variant of a sedan/saloon with its roof extended rearward over a shared passenger/cargo volume with access at the back via a third or fifth door , instead of a trunk lid...

 joined the line in 1987. Several model refreshes during the 1990s kept the Magna, which had expanded to include the luxury and Verada
Mitsubishi Magna
The Mitsubishi Magna was a mid-size car offered between May 1985 and September 2005 by Mitsubishi Motors Australia Limited . Manufactured at the Tonsley Park assembly plant, Magna spanned three generations before being replaced by the Mitsubishi 380...

 updated. However, by the early 2000s, it was clear that the Magna/Verada line, now in its third iteration had aged considerably. A facelift to the Magna/Verada line in 2003 failed to lift sales. Approval for construction of a new vehicle was gained from Mitsubishi Motors Corporation, and funding was provided to re-engineer the Tonsley Park plant with the result that a new vehicle, the Mitsubishi 380
Mitsubishi 380
The Mitsubishi 380 is a mid-size car that was produced by Mitsubishi Motors Australia between 2005 and 2008. It was the successor to the Mitsubishi Magna/Verada line of vehicles first introduced in 1985. The company spent over A$600 million developing and producing the car, which is heavily based...

, was delivered to the market in late 2005.

Sales challenges

Mitsubishi Motors Corporation's financial and legal issues weighed hard on MMAL, with public perception of the viability of the company reaching an all time low in 2004. Company research conducted in mid-2004 revealed that roughly four out of every five believed that Mitsubishi would cease production in Australia.

The withdrawal of DaimlerChrysler
DaimlerChrysler
Daimler AG is a German car corporation. By unit sales, it is the thirteenth-largest car manufacturer and second-largest truck manufacturer in the world. In addition to automobiles, Daimler manufactures buses and provides financial services through its Daimler Financial Services arm...

 from its involvement with Mitsubishi Motors Corporation in 2004, along with the revitalisation plan that called for the closure of the Lonsdale
Lonsdale, South Australia
Lonsdale is an industrial suburb located south of Adelaide, South Australia, within the City of Onkaparinga.Lonsdale was farmed from shortly after European settlement until the 1950s, when the South Australian Housing Trust acquired much of the land for industrial use...

 engine plant, did not help the public's perception of MMAL as a viable company.

MMAL ended 2004 with a stockpile of approximately 4,000 unsold Magnas
Mitsubishi Magna
The Mitsubishi Magna was a mid-size car offered between May 1985 and September 2005 by Mitsubishi Motors Australia Limited . Manufactured at the Tonsley Park assembly plant, Magna spanned three generations before being replaced by the Mitsubishi 380...

 and Veradas
Mitsubishi Magna
The Mitsubishi Magna was a mid-size car offered between May 1985 and September 2005 by Mitsubishi Motors Australia Limited . Manufactured at the Tonsley Park assembly plant, Magna spanned three generations before being replaced by the Mitsubishi 380...

. To restore consumer confidence in the brand and to clear the model backlog, a series of television advertisement
Television advertisement
A television advertisement or television commercial, often just commercial, advert, ad, or ad-film – is a span of television programming produced and paid for by an organization that conveys a message, typically one intended to market a product...

s began airing in December 2004. Centred on Mitsubishi Australia's then Chief executive officer
Chief executive officer
A chief executive officer , managing director , Executive Director for non-profit organizations, or chief executive is the highest-ranking corporate officer or administrator in charge of total management of an organization...

, Tom Phillips, the advertisements promoted the introduction of an industry-first five-year/130,000 kilometre warranty
Warranty
In business and legal transactions, a warranty is an assurance by one party to the other party that specific facts or conditions are true or will happen; the other party is permitted to rely on that assurance and seek some type of remedy if it is not true or followed.In real estate transactions, a...

. Mitsubishi reworked a slogan from former Chrysler
Chrysler
Chrysler Group LLC is a multinational automaker headquartered in Auburn Hills, Michigan, USA. Chrysler was first organized as the Chrysler Corporation in 1925....

 chairman Lee Iacocca
Lee Iacocca
Lido Anthony "Lee" Iacocca is an American businessman known for engineering the Mustang, the unsuccessful Ford Pinto, being fired from Ford Motor Company, and his revival of the Chrysler Corporation in the 1980s...

, concluding their commercials with the tagline, "If you can find a better-built, better-backed car anywhere, then buy it". The campaign successfully boosted sales and allowed the backlog to be cleared.

The Mitsubishi 380
Mitsubishi 380
The Mitsubishi 380 is a mid-size car that was produced by Mitsubishi Motors Australia between 2005 and 2008. It was the successor to the Mitsubishi Magna/Verada line of vehicles first introduced in 1985. The company spent over A$600 million developing and producing the car, which is heavily based...

, the successor vehicle to the Magna, raised hopes for the future of MMAL when launched. Hopes stemmed from the sales success that the Magna experienced when it was launched and the fact that the Australian automobile market was growing at the time. However, the 380 sold poorly from its introduction and failed to meet expected sales targets. This resulted in a reduction in daily production volume from 180 to 50 vehicles per day, along with further reductions in the workforce.
Sales of other Mitsubishi Motors Corporation vehicles began to show improvement in Asia
Asia
Asia is the world's largest and most populous continent, located primarily in the eastern and northern hemispheres. It covers 8.7% of the Earth's total surface area and with approximately 3.879 billion people, it hosts 60% of the world's current human population...

n and Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...

an markets as new vehicles were introduced during 2006. These vehicles were also introduced into the Australian market, boosting MMAL's Australian sales into the segments that these vehicles occupied, though this did nothing to help their sales of locally manufactured product.

Cessation of local production and corporate restructure

On 5 February 2008, it was announced that MMAL would cease production of the 380 at the Tonsley Park plant, effective at the end of March 2008. The two-page statement released announced they would pursue a "full import strategy" for the Australian market due to unviable 380 sales. The last Mitsubishi 380 sedan left the production line on 27 March 2008. Coinciding with the last vehicles to leave the line was the redundancy of about 500 workers, with another 430 staying for another 12 months. Those remaining decommissioned the plant and produced a stockpile of spare parts destined to last ten years.

By late 2009, MMAL had removed the last piece of manufacturing equipment from the Tonsley Park assembly plant. Ownership of the plant was handed over to the Government of South Australia
Government of South Australia
The form of the Government of South Australia is prescribed in its constitution, which dates from 1856, although it has been amended many times since then...

 on 16 December 2009.
At the same time, MMAL began a restructure of the remaining divisions of the company. This restructure concluded in mid 2009 and saw staff numbers reduced to around 300 through redundancy and outsourcing.

The majority of the remaining staff are involved with sales and marketing activities, though MMAL retains some capability to perform any design changes that may be required to fit Mitsubishi Motors Corporation's global products into the Australian market.

MMAL has retained its offices in Sydney, Melbourne, Brisbane and Perth, with only minor changes to structure as these offices have only ever been sales based offices.

Vehicle lineup

Since the end of local 380
Mitsubishi 380
The Mitsubishi 380 is a mid-size car that was produced by Mitsubishi Motors Australia between 2005 and 2008. It was the successor to the Mitsubishi Magna/Verada line of vehicles first introduced in 1985. The company spent over A$600 million developing and producing the car, which is heavily based...

 production, the entire vehicle range that MMAL sells is imported from Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...

 with the Colt
Mitsubishi Colt
The Mitsubishi Colt is a vehicle built by Mitsubishi Motors since 1962. It was first introduced as a series of kei cars and subcompact cars in the 1960s, and then as the export version of the Mitsubishi Mirage hatchback in the 1980s and 1990s...

, Express, Grandis
Mitsubishi Grandis
The Mitsubishi Grandis is a seven seat MPV built by Mitsubishi Motors to replace its Chariot/Space Wagon/Nimbus line. It was launched on May 14, 2003 and is sold in Japan, Asia, Europe, Oceania, Mexico, Honduras, Jamaica, and South America...

, Lancer
Mitsubishi Lancer
The Mitsubishi Lancer is a family car built by Mitsubishi Motors. It has been known as the Colt Lancer, Dodge/Plymouth Colt, Chrysler Valiant Lancer, Chrysler Lancer, Eagle Summit, Hindustan Lancer, Soueast Lioncel, Mitsubishi Carisma, and Mitsubishi Mirage in various countries at different times,...

, Outlander
Mitsubishi Outlander
The Airtrek was first introduced to the Japanese market on June 20, 2001, priced from ¥1.7–2.3 million. It offered a choice of either a 4G63 2.0 L or a 4G64 2.4 L GDI, mated to a standard INVECS-II 4-speed semi-automatic transmission. Both front- and four-wheel drive were available...

 and Pajero
Mitsubishi Pajero
The Mitsubishi Pajero is a sport utility vehicle manufactured by Mitsubishi Motors. It was named after Leopardus pajeros, the Pampas Cat which is native to the Patagonia plateau region of southern Argentina. However, since pajero is an offensive term for "wanker" in Spanish, alternative names have...

, and from Thailand
Thailand
Thailand , officially the Kingdom of Thailand , formerly known as Siam , is a country located at the centre of the Indochina peninsula and Southeast Asia. It is bordered to the north by Burma and Laos, to the east by Laos and Cambodia, to the south by the Gulf of Thailand and Malaysia, and to the...

 with the Challenger
Mitsubishi Challenger
- First generation :Production began in Japan in 1996, and was available for most export markets by 1997, where it was variously known as the Challenger, Pajero Sport in Europe, Montero Sport in North America and South America, Nativa in parts of Central America and the Middle East, Shogun Sport...

 and Triton
Mitsubishi Triton
The Mitsubishi Triton is a compact pickup truck produced by Mitsubishi Motors. It was originally known as the Mitsubishi Forte in Japan from 1978 to 1986, when the name was discontinued in favour of the Strada. In the United States two captive imports of the Forte were sold by the Chrysler...

.

Production and sales, 1991–2007

Year Production Sales
1991 29,074 n/a
1992 36,714 n/a
1993 52,521 n/a
1994 47,859 n/a
1995 39,728 n/a
1996 43,235 n/a
1997 58,290 n/a
1998 47,296 n/a
1999 34,883 n/a
2000 38,566 70,599
2001 43,801 65,512
2002 46,191 65,054
2003 31,470 66,979
2004 17,245 56,260
2005 18,657 55,307
2006 10,560 57,288
2007 10,230 66,410
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