Mitsubishi Motors to Close Down Gifu Plant

Economy

Tokyo, July 27 (Jiji Press)--Mitsubishi Motors Corp. <7211> said Monday that it will close down a plant in the central Japan prefecture of Gifu, as part of its efforts to rebuild its business amid the coronavirus crisis.

The Japanese automaker reported the same day a consolidated net loss of 176,157 million yen for April-June, against a year-before profit of 9,312 million yen, reflecting sluggish global sales against the backdrop of the pandemic.

It was the first time in four years for the automaker to suffer a net loss in the first quarter of a fiscal year. The latest loss was the largest since the company split off its commercial vehicle division in 2003.

The company booked special losses of 120 billion yen, due partly to write-downs and restructuring costs.

The Japanese automaker will end production at the plant, run by subsidiary Pajero Manufacturing Co. in the town of Sakahogi, by the end of September 2021.

[Copyright The Jiji Press, Ltd.]

Jiji Press