Mitsubishi Motors Australia has announced it will cease sales of three significant car models: the ASX, Eclipse Cross (including both combustion and plug-in hybrid versions), and the Pajero Sport. This decision aligns with the company's inability to upgrade these models to meet the new safety standards, known as the Australian Design Rules (ADRs), which are set to take effect on March 1, 2025.
Shaun Westcott, the CEO of Mitsubishi Australia, stated, "Investing to develop these models to comply with the new Australian Design Rules is not commercially viable." The company’s analysis shed light on the aging nature of these models, alongside the rapidly changing automotive standards, rendering the financial commitment for potential upgrades unjustifiable.
This announcement sheds light on the shifting dynamics of the automotive industry, where regulatory frameworks can heavily influence market strategies. Westcott reiterated the company’s position, noting, "We have sufficient stock to sell throughout 2025," ensuring those interested will still have time to purchase these vehicles before the end of sales.
Sales figures for these models have shown promising trends; for 2024, Mitsubishi sold 12,330 units of the ASX (up 34% from 2023), 9,221 units of the Eclipse Cross (up 18%), and 7,306 units of the Pajero Sport (up 31%). These totals represent more than one-third of Mitsubishi's total sales volume, highlighting the models' importance to the company's market share.
The ASX has been particularly lasting, first introduced in 2010. Throughout its 15-year history, it has undergone three major facelifts. Similarly, the Pajero Sport, having debuted in 2015 with updates occurring last year, maintains its standing as one of Mitsubishi's flagship models. The Eclipse Cross came on the scene later, debuting in 2017 and receiving its last significant upgrade just three years ago.
Despite the discontinuation of these models, Mitsubishi is not stepping away from the Australian market. Plans for the future include the introduction of the second-generation ASX, developed alongside the Renault Captur, scheduled to hit the roads later this year. The company also plans to launch the refreshed Outlander, equipped with upgraded plug-in hybrid technology, expected to be available by 2025.
Mitsubishi’s strategic focus presents strong commitments under their "Momentum 2030" initiative, which outlines the introduction of numerous new or significantly refreshed vehicle models throughout the coming decade. This includes not only traditional combustion engine vehicles but also electric and hybrid models, reflecting the rapidly transitioning automotive market.
The ADRs are key regulatory benchmarks set by the Australian government, ensuring vehicles sold domestically meet stringent standards for safety, emissions, and technical functionality. Specifically, these rules cover all vehicles, including personal cars, commercial trucks, and motorcycles, mandatorily requiring them to pass comprehensive standards assessments before reaching consumers.
The relevance of these regulations is amplified as the Australian automotive market continues to engage with global standards set to protect users and the environment. Westcott underlined this sentiment, expressing the company’s commitment to maintaining safety and quality as they navigate the regulatory shifts.
Both consumers and industry watchers will be paying close attention to Mitsubishi’s transition and continued presence within Australia. The upcoming model launches and strategic initiatives under the Momentum 2030 plan aim to capture consumer interest and maintain competitive viability.
The cessation of the ASX, Eclipse Cross, and Pajero Sport marks not just the end of sales for these enduring models but signals wider changes within Mitsubishi’s operational strategies. While this phase ends, the brand prepares to transition to meet today’s market demands more effectively.
With considerable developments on the horizon, Mitsubishi Motors Australia is poised for challenge and opportunity alike as it adapts to new standards and consumer preferences in the automotive sector.