ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Nissan's Ghosn crisis

Mitsubishi Motors re-enters tie-up with Daimler after 13 years

Japanese automaker will join Nissan and Renault in four-way partnership for future technology

The partnership will bring Daimler and Mitsubishi Motors back together after a failed alliance in the early 2000s.

TOKYO -- Mitsubishi Motors has agreed to join alliance partners Nissan Motor and Renault in a wide-ranging tie-up with Germany's Daimler that includes next-generation technology and production cooperation.  

Mitsubishi Motors' board has formally approved entering into a partnership with the German automaker. While Nissan, Renault and Daimler all have investments in each other, Mitsubishi is not considering a capital tie-up with the Mercedes producer.

Mitsubishi and Daimler will return to collaboration 13 years after their first partnership ended. Despite the exit of ex-Chairman Carlos Ghosn, who has spearheaded efforts to work with Daimler, the Japanese automaker believes that the tie-up will be beneficial in preparing itself for future cars.

Though the specifics have yet to be hammered out, Mitsubishi Motors is likely to offer technology for developing electrified vehicles and consider participating in sharing of key parts such as engines.

In 2000, the German automaker -- then DaimlerChrysler -- bought a 34% stake in Mitsubishi Motors as the Japanese automaker was reeling from a defect cover-up scandal. DaimlerChrysler later sold down its stake, unloading the last of its shares in 2005.

Nissan and Renault entered the tie-up with Daimler in 2010. Nissan operates an auto assembly plant with the German carmaker in Mexico, and the three companies develop core components together. The partnership also includes cross-shareholdings, with Renault and Nissan each having a 3.1% stake in the German company and Daimler owning 1.55% of both of its partners.

But Ghosn's arrest makes the smaller automaker's integration into the three-way partnership somewhat uncertain. Daimler's broad cooperation with Renault and Nissan was premised in part on the rapport between Ghosn and Daimler Chairman Dieter Zetsche.

The heads of the three alliance members and Daimler had planned to meet after Mitsubishi Motors officially agreed to participate, but this has been postponed in light of Ghosn's absence. Ghosn has been removed as chairman of Nissan and Mitsubishi Motors, though he remains chairman and CEO of Renault.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends January 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media