Carlos Ghosn, the chairman for both Nissan as well as Mitsubishi, rules out a full merger between the two auto companies.

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Carlos Ghosn feels Mitsubishi needs to rebuild itself

A full merger between Nissan and Mitsubishi is not being considered as Mitsubishi still needs to rebuild itself, this was stated by Carlos Ghosn, at the opening of Mitsubishi’s new plant in Jakarta.

Nissan had bought a controlling stake in Mitsubishi for $2.3 billion in 2016. It is likely that Mitsubishi and Nissan could cross-manufacture in areas where they think would make sense. Both the automakers are studying the possibility of joint production of pick-up trucks in Southeast Asia in parallel looking for some savings in the much bigger Renault-Nissan alliance.

Dominated by the sales of multi-purpose vehicles, Mitsubishi expects an increase of 40 percent in sales in Indonesia. The top executives are confident of Mitsubishi having a 10 percent share of Indonesia’s car market in the next 3 years, from a present rate of 6 percent.

Indonesia overtook Thailand to become Southeast Asia’s largest car market recently and clocked sales of nearly 1.1 million vehicles in the last year.

Nissan Mitsubishi Merger

– Nissan and Mitsubishi full merger is not being considered
– Nissan had bought a controlling stake in Mitsubishi for $2.3 billion in 2016
– The companies will cross-manufacture in certain areas though

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Nissan is also into an alliance with Renault