Guangqi Mitsubishi: Starts layoffs at Chinese plant
-Suzuki completely withdraws from China in 2018 –
-Mazda Consolidates Chinese Sales Companies-
We will deliver a summary from the article published in 36Kr Japan.
Mitsubishi Motors in China:
It began to scale back its car production in China.
Japanese car makers are reviewing their strategies
in the Chinese market one after another.
Joint venture with Guangzhou Automobile Group:
GACMitsubishi Motors Recently,
it became clear that the company has begun a staff reduction.
GAC Mitsubishi had temporarily suspended production in June this year.
The reason is that due to the impact of EV, it is not possible to achieve sales as expected.
GAC Mitsubishi Hunan Changsha Plant
From March to May of this year, it was shut down.
Speculation abounded that Mitsubishi Motors would pull out of China.
GAC Mitsubishi President Takao Kato
As of May this year, the company has not decided to withdraw from China at this stage.
He said he needed some structural reform.
Guangqi Mitsubishi: 2022 production volume
GAC Mitsubishi’s production volume in 2010 fell by more than 40% year-on-year to 35,542 units.
Financial support from Guangzhou Automobile Group
In October 2010, it financed GAC Mitsubishi with 1 billion yuan.
In June this year, the company and Mitsubishi Motors
agreed to provide financial support of up to 1.884 billion yuan.
japanese suzuki
Already in 2018,
it decided to completely withdraw from the Chinese market.
japanese mazda
Recently, the company consolidated its automobile sales companies in China.
Rapid spread of EVs In the Chinese market,
it will be difficult for Japanese manufacturers,
whose main products are engine vehicles, to catch up.
Suzuki: Closing the Chinese business in just 3 months!
We will deliver a summary from the article published in Newswitch.
Suzuki’s decision
In June and September,
the company dissolved a joint venture in China
and withdrew from local automobile production.
In 2012,
Suzuki also withdrew from the US four-wheel vehicle sales business.
Focus on Indian market
Abandon the two major markets of the United States and China,
and concentrate management resources on India,
which holds the top market share.
This time, he made his determination even stronger.
China’s Changhe Suzuki
Since 1995,
the company has been involved in the production of four-wheeled vehicles.
Relations with Suzuki gradually deteriorated over vehicle development.
Changhe Suzuki has frozen the introduction of new models.
Residents were also withdrawn from China.
Osamu Suzuki Suzuki Chairman
I was looking for the right time to withdraw from China.
And just three months later,
he announced his withdrawal from the joint venture.
Re-entry into China will be difficult.
uzuki withdrawal from China
Suzuki has an overwhelming share of nearly 50%
in India, a market of 1 billion people.
Whether or not this withdrawal will be a “decision”
It depends on whether we can grow further in India.
Highly dependent on the Indian market.
Mazda: Consolidate sales companies in China!
Nikkei Shimbun July 4, 2023 Article will be delivered.
japanese mazda
Reorganize the sales network in China.
Consolidate two sales companies into the group of Chongqing Changan Automobile in China.
Mazda will review its strategy to expand EV sales in China.
“Chang’an Mazda”
A joint venture between Mazda and Changan Automobile was born in China.
The joint venture established by China FAW and Mazda (former FAW Mazda)
will become a wholly owned subsidiary.
In the future, the timing of making it a subsidiary will be finalized.
https://www.nikkei.com/article/DGKKZO72455860U3A700C2MM8000/