Mitsubishi Motors Corporation has expanded its business in China with a new engine plant, while GAC Mitsubishi Motors – the joint venture in China between MMC, the Guangzhou Automobile Group and Mitsubishi Corporation – has begun production of its 4B4 and 4J1 engines.
GMMC has also announced its plans to expand and relocate to a newly established R&D center in Changsha City. The chosen site has an area of 410,000m² and includes a vehicle testing course.
The center will further strengthen GMMC’s technological development functions in order to meet the local market needs for China.
The new engine plant meanwhile, which will be completed in 2020, will have an annual production capacity of 200,000 units. It will produce the new 1.5-liter direct-injection turbocharged gasoline engine (4B4), which will be fitted to the Mitsubishi Eclipse Cross SUV. In addition, the plant will also manufacture the 4J1 engine for the locally-produced Mitsubishi Outlander SUV.
The company has decided to produce the engines locally to enhance cost competitiveness and further strengthen market position. In addition to increasing employment at the new factory, the production will result in more employment opportunities throughout the supply chain.