Mitsubishi Motors is considering a return to U.S. vehicle production through a joint investment with Nissan at one of its American assembly plants. The move comes as the automaker braces for steep U.S. tariffs and an anticipated 26% drop in American sales. CEO Takao Kato revealed the early-stage plans while announcing the company’s financial results for the fiscal year ending March 31, noting that discussions remain preliminary and no specifics have been finalized.
The collaboration would mark Mitsubishi’s first U.S. manufacturing operation since closing its Normal, Illinois plant in 2015. Currently, the company imports nearly all vehicles sold in the U.S. from Japan and Thailand.
The proposed partnership is driven by two key factors: increasing cost pressures from tariffs, which Mitsubishi estimates will cut $267 million from operating profit this year, and underutilized production capacity at Nissan’s U.S. plants. The companies plan to explore co-developing and producing next-generation utility vehicles under both brands, with Mitsubishi potentially expanding its U.S. lineup and Nissan improving plant efficiency.
In addition to the production discussions, Mitsubishi will introduce a U.S.-bound electric vehicle in 2026 based on the next-generation Nissan Leaf. It will also supply Nissan with a version of its Outlander plug-in hybrid, which Nissan will sell as a Rogue PHEV.
These strategic efforts arrive as Mitsubishi navigates mounting financial headwinds. The company reported a 27% drop in operating profit for the fiscal year ending March 2024 and forecasts another 28% decline this year due to tariff costs and unfavorable foreign exchange rates. While global sales are expected to grow 4% to 878,000 units, North American volume is projected to fall 18%, driven by a sharp 26% decrease in U.S. deliveries.
