Mitsubishi plans to build a joint automaker plant with peugeot Citroen in Russia. The new plant will make middle class cars of Lancer type in 2010, according to unconfirmed reports on the Internet.

Mitsubishi had talks with Russia in late 2006 and made a principal decision to rule out assembly plant construction.

Since high taxes are imposed on imported components, it proved to be more profitable to build its own enterprise, supposedly in Saint-Petersburg outskirts.

The new plant will be making about 200,000 cars annually. About $450 million is required for the plant construction.

Mitsubishi and peugeot Citroen Group plan to build the joint enterprise with this goal.

In case the plan succeeds, Mitsubishi will become the third Japanese automaker following Toyota and Nissan to launch production in Russia, RIA informed.

This entry was posted on Monday, February 12th, 2007 at 10:07 pm and is filed under Worldwide, European Region. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.