BizLIVE - The new plant will have a designed capacity of 30,000 to 50,000 vehicles per year, compared to the first plant's 5,000-car capacity.
Mitsubishi Motors Plans $250 Million for Second Vietnam Plant
A Mitsubishi Motors store. Photo: Japan Times
Japanese automotive giant Mitsubishi Motors plans to invest $250 million to build a second auto manufacturing plant in Vietnam as the firm looks to tap strong demand in Vietnam as well as expand its presence in the region, a senior executive has said.
The company is exploring a location for the factory, which should be within an already operational industrial park, close to a seaport and easily connected to domestic as well as overseas markets, Kozo Shiraji, vice president of Misubishi Motors Corp., unveiled the information at a meeting with Vietnamese Deputy Prime Minister Vuong Dinh Hue in Hanoi on January 15.
The new plant will have a designed capacity of 30,000 to 50,000 vehicles per year, he added. Mitsubishi Vietnam Co., Ltd. is operating an auto plant in the southern province of Binh Duong, with an annual capacity of 5,000 cars.
Vietnam is one of the important and potential markets in Southeast Asia for Mitsubishi Motors. Vietnam possesses competitive edges such as a young labor force and skilled workers for car and motorcycle production, Shiraji said.
  Deputy Prime Minister Vuong Dinh Hue shakes hands with Kozo Shiraji, vice president of Misubishi Motors in Hanoi on Jan. 15. Photo: Thanh Chung/VGP
Deputy PM Hue welcomed Mitsubishi Motors’ plan to erect a new factory in Vietnam. He also highlighted the great potential of the Vietnamese automobile market.  
Mishubishi Motors can make use of Vietnam’s abundant and qualified workforce and exports vehicles to neighboring countries without export duties, Hue noted.
In a related development, Mitsubishi Motors Corporation on January 15 signed a memorandum of understanding with the Vietnamese government under which they plan to explore how best to promote the use of electric vehicles (EVs) in the country.
Mitsubishi Motors will work with the Vietnam Industry Agency under the Ministry of Industry and Trade to conduct a joint study of efficient EV usage and the public policy programs and incentives that could support the accelerated adoption of sustainable automotive technology.
An Outlander PHEV, a Mitsubishi Motors’ market-leading plug-in hybrid EV, and one unit of quick battery charger have been delivered to the agency as part of the agreement.