Came across this one when on the net.

It bascially states that Mitsubishi has come to an understanding that the large car market will have renewed interest, and is therefore expecting that 380 sales will rise. They also have used history of the car market as evidence, that shows that as new models are launched interest is created with-in that market segment, which Mitsubishi is hoping will bring sales to the locally made 380.

It also mentions that 100 workers are going to be made redundant who will receive 4.5 weeks pay for every year they have worked for the company due to the car market (in terms of 380 sales) not picking up as expected.

Two articles relating to the story:
http://www.theage.com.au/news/business/mitsubishi-banks-on-big-car-market-recovery/2006/08/14/1155407706695.html
http://www.news.com.au/business/story/0,23636,20119463-462,00.html




After reading these you may want to look at this:
http://www.bloomberg.com/apps/news?pid=20601101&sid=aDb3CndDoX.o&refer=japan

Finally, some excellent news for MMC. After very strong demand for the new Outlander and Mitsubishi 'i' and strong growth among other product sectors in Japan it doesn't really suprise me that they are hiring more people, especially when it is getting closer to when new models are going to be released and the Outlander is about to begin exportation to Europe and AUS (and America early next year) in the coming months of this year (in factories which are already building at capacity -- for the Outlander particuarly).

600 new Jobs for Mitsu!! This is fantastic (despite not been in AUS), hopefully 380 sales also pick up, along with the rest of sales (as they have in Japan) for MMAL and MMAL end up re-hiring more people and perhaps end up adding a 2nd shift :D

Perhaps if this new Outlander is in high demand here and in the US and Europe they could manufacture them at Tonsley Park? They have alot of excess capacity and would bascically guarantee more jobs.






I honestly cannot stress how much I want and expect sales of the 380 (along with every other Mitsubishi product) to raise in Australia in the next few months.

Go Mitsu Go :D :D :D

the 380 is a great car have a client who just bought one. looks and goes fantastic and finish is brilliant.
but have heard rumblings again that end of august or september could see the end of mmal. i know somebody who works for a supplier of mmal and thats the story getting around at the moment. ive heard this story a few time now.
they should have brought out a 4 cylinder version like toyota is doing with the camry and aurion.

the 380 is a great car have a client who just bought one. looks and goes fantastic and finish is brilliant.
but have heard rumblings again that end of august or september could see the end of mmal. i know somebody who works for a supplier of mmal and thats the story getting around at the moment. ive heard this story a few time now.
they should have brought out a 4 cylinder version like toyota is doing with the camry and aurion.
1)Rumours have been floating around for the last 10 years, if it hasn't happened by now, it wont happen!
2)They are releasing a 4 cylinder 380 next year, might be too late? None the less it's coming!

4 cyl 3.8L?
Is this correct? Oh lordy!

4 cyl 3.8L?
Is this correct? Oh lordy!
No it will be the 2.4L mivec that's currently in the outlander i'm led to believe.

Ahh ok.. Then it should really only be the "Mitsubishi 240"? haha!

Ahh ok.. Then it should really only be the "Mitsubishi 240"? haha!
There's other threads that adress this issue. It doesn't have to be tho... Look at Porsche, they have the Porsche 911, then off that model they have the Porsche 911 996 Turbo etc...

1)Rumours have been floating around for the last 10 years, if it hasn't happened by now, it wont happen!
MMAL will not close down. They may however cease manufacturing operations. As to whether they will or won't - thats all in the crystal ball. I suspect half of the reason why they have not closed down previously was the amount invested in the 380 and the massive exit taxes that the South Australian government would charge if the plant was to close. Obviously the fact that MMAL has been somewhat unsucessful in meeting it's original break even of 3,000 or so units per month needs to be acknowledged despite whatever the spin may be put on it.

Hopefully now however with the reduction of the plant workforce and other associated varible costs, MMAL is making some half decent margin per vehicle. A question however of the financial sustainability of the contracts for 380 parts held by 380 suppliers would be another issue - I would suspect that MMAL would have locked the contractors in at a certain price per unit as dependant on parts supplied - as to who bares this liability of missing the original projected sales is anyone's guess.

So what are the options available for Tonsley Park you ask?

- Close it and face massive exit taxes

- Do nothing and continue with a skeleton crew, producing approx 12-15,000 cars a year. To be honest I can't see much future development expenditure, or a followup models post 380 as individual to Australian tastes as the current 380 for a family car with that much low volume.

- Attempt to launch the 380 into export markets - despite the hype, launching into Malyasia is probably like launching into New Zealand. They need a major market - probably the Middle East.

- Attempt to redesign the 380 to be more appealing in the Australian market - quite risky considering the market perception of their first attempt - Toyota is already first to market in this field, 380 has been discounted to such an extent I doubt there would be much more than a $1,000 to $1,500 difference between the 240 and 380. Could push for an AWD or RWD setup but it's more of a risky gamble than the 2.4L version.

- Build other Mitsubishi models at Tonsley park - May impact upon production efficiency of other MMC plants, tool dies, jigs and local JIT supplier arrangements or parts importation will cost a lot of money.

- Build another manufacturer's car at Tonsley park under some form of alliance/contract. Probably an option that would not be favoured by Japan but it happens in other industries (eg Plasma tvs - http://www.plasma.com/classroom/whomakesplasma.htm bet you didn't know that!) - why not Motor Vehicles.

Potentially you could shift a fair share of manufacturing setup - jigs, dies etc on the other brand - the production line however would need extensive reporgramming and ther emay be a significant cost between switching between 380 and XYZ model But then you could turn around and pump out as many 380s as you can before switching lines - considering the current sales level you could run 380 production at 100% capacity for three months and have enough supply for 6-8. Obviously, warehouse and storage costs may be a burden but the long term benefits would outweigh this,.

Additionally, if it's already a locally produced vehicle here, JIT suppliers will already be setup, it would just be an issue of their availability to meet capacity.

Wet dream obviously but anyway....

...- Attempt to launch the 380 into export markets - despite the hype, launching into Malyasia is probably like launching into New Zealand. They need a major market - probably the Middle East....
To me this would be the most cost effective solution. Send the 380 overseas to all of the larger RHD markets as a replacement for the Diamante. I kinda find it a bit odd the MMC hasn't already done this anyhow. Did they replace the Diamante with anything in the Middle East? Fuel isn't really an issue there so a big car would probably sell just as well as over here. Although it would have to have a bit of an interiour upgrade, as it would most probably be sold as a luxury car, same as the Diamante. IMO it needs one anyway, the plastics look heaps cheaper than the ones used in the Magnas.


- Attempt to redesign the 380 to be more appealing in the Australian market - quite risky considering the market perception of their first attempt - Toyota is already first to market in this field, 380 has been discounted to such an extent I doubt there would be much more than a $1,000 to $1,500 difference between the 240 and 380. Could push for an AWD or RWD setup but it's more of a risky gamble than the 2.4L version....
Would also be nice if they had an AWD version of the VRX/GT. Maybe even if the sales picked up a VR4 model :D. MMMMM Having no real hero car doesn't help mitsu. Also they need to differentate the model a fair bit more, especially the VRX and GT. They need to have a higher output motor and bigger brakes in these.

"It bascially states that Mitsubishi has come to an understanding that the large car market will have renewed interest, and is therefore expecting that 380 sales will rise. They also have used history of the car market as evidence, that shows that as new models are launched interest is created with-in that market segment, which Mitsubishi is hoping will bring sales to the locally made 380. "


I, as do most people on this forum, want to see the 380 suceed, period. However the arguement that there will be a 'renewed interest' in the large car market in the future.... what information is that actually based on? We are not talking about some fashion trend like flares that suddenly become popular again. The reason behind poor sales of large cars is very simple - price of petrol. It was not that long ago that prices in Oz were 70c/litre and they were on or about that for a long time. Now it's double that. So lets say 7 years ago you would get through $50 fuel a week, now that is $100 or more. Its only $50, but it all adds up, especially for families that are on or below the breadline. $100 a week works out to be $5200 a year, lets round it up to $6000 to take into consideration a few trips to the coast. And this $6000 has been taxed, so pre-tax we are talking close to $10k out of someone's salary, which is cool if you are on 80K plus, but if you are are $25 - $35k thats a hefty chunk, hence the reason people are shying away from big cars. When the prices come down then sales will improve. Pretty simple maths. You can just look at Europe as a model. It's unheard of for people to be driving a 3.5 V6 as a family car or a work pool car. Your standard engine is a 1.6 or 1.8, or if you are the sporty type maybe a more powerful 2l! Even the larger engined BMW's and Mercs are producing powerful diesel engines now in an effort to address sky high petrol prices and hybrids like the Prius are no longer a gimmick car, but a more sensible option. So where now for the 380 and Mitsubishi? Well petrol prices are not coming down for the foreseeable future and when/if they do come down they will not go under $1.00. The 4 cylinder engine is a great idea and I think will prove quite popular, maybe a diesel or even hybrid engine in the future would be good.

I, as do most people on this forum, want to see the 380 suceed, period. However the arguement that there will be a 'renewed interest' in the large car market in the future.... what information is that actually based on?
Back in the mid-90's when the largely successful TE/TF Magna was released, initial sales were, whilst not alarming, lower than expected. Introduce VT Commodore in 1997, then AU Falcon the following year, and a renewed interest in the large car segment was born. The result? Mitsubishi sold on average more than 3,000 Magna/Verada's per month in 1998.

Obviously in today's environment we're talking lower numbers. Another issue is that 380 isn't ahead of the pack like Magna was back in it's hey day. Nevertheless it is almost a certainty that, given history, we will see an increase in sales for our 380.

Anyone suggesting MMAL's manufacturing operations will close in the next month or so is either sadly misinformed, or possibly starved of attention - though I'd suggest the former.

I think many points dave_au suggested in his post warrant consideration. Whilst MMC Japan have proven time and again they're totally bereft of any idea on how to run a successful motor company, I doubt we'll see them closing their Adelaide operations any time soon. 380's current life cycle is scheduled to end in 2011, and unless the current market situation drastically improves for those at Tonsley Park, this is the year MMAL's manufacturing operations will close; though it wouldn't suprise me if MMC act a little sooner than expected.

Good news is that a former HSV designer has joined MMAL to help increase 380's visual appeal and give it a sportier, more agressive look. After all, the 380GT shouldn't just go like a GT, it should look like one too.

Be good if they used their Gasoline Direct Injection(GDI)and Diesel Direct Injection DDI technology and experience to produce a direct injection LPG engine. That would be the most efficient engine possible in my opinion. The GDI engines for instance can lean out to 40:1. The trouble with the GDI's in Oz is our high sulphur levels in the petrol leading to bad oxide emissions. As LPG doesn't have these sulphur levels it'd be awesome for both torque and efficiency. **** over that crappy retarded Prius:sick: . Pity they get no investment money from MMC:rant:.

Anyone have the latest sales figures?
Be interesting to see how the Ve/380 went.

as veradaboy said, their is past evidence that new metal in the market can stimulate the large car segment. Even ford is saying that the new VE commo is actually a good thing and they expect bigger sales as a result. Also there are fresh predictions from comsec's cheif analyst that fuel prices could be back down around 1.10 by christmas.. more good news for the large car segment.

With proton saying they will take 380's aslong as they build em in 4cyl form, MMAL has already starting engineering work on a 2.4 ltr 4cyl 380 which would tackle the camry, and at the current 380's pricing you are possibly looking at a 25k entry point! Theres plenty of fight left in the 380 in my opinion..

as veradaboy said, their is past evidence that new metal in the market can stimulate the large car segment. Even ford is saying that the new VE commo is actually a good thing and they expect bigger sales as a result. Also there are fresh predictions from comsec's cheif analyst that fuel prices could be back down around 1.10 by christmas.. more good news for the large car segment.

With proton saying they will take 380's aslong as they build em in 4cyl form, MMAL has already starting engineering work on a 2.4 ltr 4cyl 380 which would tackle the camry, and at the current 380's pricing you are possibly looking at a 25k entry point! Theres plenty of fight left in the 380 in my opinion..

Yeah petrol has finally decreased in price (yesterday I got it for 126.9 a litre -- IN ADELAIDE, the most expensive Australian city for petrol!!!) and I heard about it being 1.10 a litre by the end of the year as well. If this trend continues, inflations settles (and interest rates therefore do NOT rise again) people will hopefully buy more cars and more large cars, such as the 380 in particular.

I agree about the large car segment thingy as well, as you and VeradaBoy has said, which when looking at the inital 3rd Gen sales comapred to when the VT was released we may just be waiting for history to repeat itself.

AND!!! With MMAL on their way to exporting the 380 (2.4) as CKD for Proton and the 2.4l 380 being offered locally (as you said with a starting price of possibly only $25k) MMAL sure do have a bright outlook if sales improve (which is kinda expected that they will). Hopefully this leads to MMAL manufactuing a 2nd model on their production line in Tonsley Park and more jobs for mighty SA (and other states for components etc.) :D

Also, with Aussie Mitsubishi dealers having heaps of new products to sell now and in the coming months higher sales of imported MMC products should be evident. If this is the case MMAL still gets a cut from each sale which further contributes to the much needed payments to MMC in Japan.

Hopefully this leads to MMAL manufactuing a 2nd model on their production line in Tonsley Park and more jobs for mighty SA (and other states for components etc.)

would be great if it could happen, but for it to work it would have to be a car developed off the same platform as 380. To my knowledge the only other mitsubishi cars to be built of this platform is the yank gallant and the yank eclipse and eclipse spider... a locally fiddled (ie handling thats actually good) and manufactured version of the eclipse and eclipse spider??? that'd be pretty cool! Plus it would give MMAL an image leading car which would have benefits accross the entire Mitsubishi range

would be great if it could happen, but for it to work it would have to be a car developed off the same platform as 380. To my knowledge the only other mitsubishi cars to be built of this platform is the yank gallant and the yank eclipse and eclipse spider... a locally fiddled (ie handling thats actually good) and manufactured version of the eclipse and eclipse spider??? that'd be pretty cool! Plus it would give MMAL an image leading car which would have benefits accross the entire Mitsubishi range

That would be good if MMAL could get the contract to produce all RHD Eclipses, because as far as I'm aware the current model US Eclipse/Eclipse Spyder is only produced in LHD.

That was MMAL would have some export potential as they could export all RHD versions and MMUS could export all LHD versions.

The Mitsubishi Endeavor is also built on the Galant PS41 platform but I don't think that is that ideal for Australia and there is already alot of 4WD's on the market and MMC have enough 4WD's available here in Oz. The Eclipse would certainly be an appealing car and would probably sell well if both the 4-cyl and V6 options were available. It'd kind of have its own market as well as I can't think of a car which would be priced alongside it with engine options approaching 200kw.

By all accounts the next gen US Galant is going to be on a stretched GS platform (which non-stretched platform underpins upcoming Lancer and the all-new Outlander). If this is the case and the next Gen 380 or replacement vehicle is based on the next Galant then MMAL could start building Outlanders in Oz (because the Japanese plant is at full capacity and is likely to increase sales as it begins major exports in like 40 odd days) and then start working on it and then use that platform for the next gen 380 (or whatever) when it comes around.

Nice to think about anyway :D :D

well its right about now that MMAL should be making loud claims to MMC saying "hey your plants are so full that supply problems could result, whereas our, now state of the art, manufacturing plant is basically sitting idle"

There is no doubt at all that MMAL desperately NEEDS another model to manufacture here to keep the plant open. I suggested something built off the PS41 platform to keep the costs of re-tooling the plant for a new model, however another model could easily be built there. Obviously exports of the 380 to proton in malaysia and possibly india will defently help lift the plants production, but perhaps manufacturing Australia and New Zealands supply of the next Lancer would also help secure Tonsley Park's future??

Also Mitsubishi don't sell a full size car in Europe do they? Surely the fitment of a turbo diesel motor of some kind to the 380 could produce a reasonable amount of european sales (and therefore more crucial exports for MMAL) as well as help aussie sales, being the first of the aussie large cars to come in turbo diesel.

So many options ofcourse for MMAL, the trouble is they all cost money and with the 380 currently not doing too well its very hard for MMAL's board to convince MMC to hand over the folding... Hopefully the "revitilised" large car market really does result from the birth of the VE commodore, combined with the future upgrades to the 380 which MMAL are currently working on (more special VRX, 4cyl, and also styling upgrades i understand), and proton will help boost 380's sales and give MMAL a stronger bargaining position. Its strange how we have to hope holden is successfull to ensure MMAL is successful :P