Thursday, September 29, 2022
News Mitsubishi Is Also Suffering From the Coronavirus And Is Looking For Big...

Mitsubishi Is Also Suffering From the Coronavirus And Is Looking For Big Loans

Mitsubishi Motors is shopping for cash to see itself through the coronavirus pandemic 


  • They have requested financing in the sum of $2.8 billion.

  • Nissan holds a 34% stake in Mitsubishi Motors.

  • The loans are to help the company through the severe drop in demand for new cars at this time.


The car industry is, as we’ve stated many times, struggling as the global pandemic drags on. Even though many plants have returned to producing new vehicles, it may take a long while before demand picks up again. Mitsubishi Motors’ new vehicle sales in North America have been flat in a downward market which is good news. The bad news is that their reserves were close to crisis levels. This is why they are seeking $2.8 billion in loans.

Nissan Prepping For Massive Output Cuts For May And June

Every carmakers is hurting at the moment and this includes Mitsubishi. Last year was a good year for the Japanese automaker as its sales were strong and held about 370 billion yen in cash and equivalents at the end of 2019. The sharp decline in worldwide demand for cars and SUVs has depleted these reserves and has forced Mitsubishi Motors to shop for 300 billion yen ($2.8 billion) in financing and loans from domestic and foreign lenders.

As a reminder, Mitsubishi Motors was “bailed out” in 2016 by Nissan following its falsified fuel-economy data. At the time, they joined what is now known as the Renault–Nissan–Mitsubishi Alliance.

2021 Mitsubishi Mirage | Photo: Olivier Delorme

Mitsubishi Eclipse Cross | Photo: Mitsubishi

Trending Now

Rivian Failed to Get Certified by Transport Canada

This means the company can’t sell vehicles in Canada for now A report cites issues with units of measure, labels, noise and anti-theft...

The 2023 Mitsubishi Outlander PHEV Will Deliver 61 km of EV Range

This will be possible thanks to its 20kWh lithium-ion battery pack. The total system power is 248hp and 332 lb/ft of torque. It feels...

Wards publishes its list of the 10 best powertrains for 2022

Earlier this week, Wards Auto released its list of the 10 Best Engines and Powertrain Systems of the past year. And as expected, electrification...

This is a First Look at the New 2024 Hyundai Santa Fe

Once more, Hyundai is revolutionizing its design. By the looks of the prototype, it’s far boxier than it’s ever been. Hyundai’s clearly looking to...

Valérie Limoges Makes History in the Nissan Sentra Cup

For the first time in Canadian racing history, a female driver has clinched a class title in Canadian road racing. When Quebec’s Valérie Limoges and...
Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.