In a surprising move that has sent shockwaves through the Australian automotive market, Mitsubishi has announced the discontinuation of several long-standing models from its lineup. This decision, driven by new safety regulations, marks a significant shift in the Japanese automaker’s strategy and product offerings in the country.
The Affected Models (Mitsubishi)
The models facing the axe include:
- Mitsubishi ASX: A popular small SUV that has been a staple in the Australian market for nearly 15 years.
- Mitsubishi Eclipse Cross: A stylish compact SUV that has gained a following since its introduction.
- Mitsubishi Pajero Sport: A rugged, off-road capable SUV based on the Triton ute platform.
The Driving Force: ADR 98/00
The primary reason behind this drastic move is the introduction of a new Australian Design Rule (ADR 98/00), set to take effect from March 1, 2025. This regulation mandates that all new vehicles sold in Australia must be equipped with car-to-car autonomous emergency braking (AEB) technology.
While the affected Mitsubishi models do feature AEB systems, they reportedly do not meet the specific requirements outlined in the new regulation. Mitsubishi Australia’s CEO, Shawn Westcott, stated that updating these models to comply with the new standards was not financially viable given their current position in their life cycles.
Impact on Mitsubishi ’s Australian Lineup
The discontinuation of these models will have a significant impact on Mitsubishi’s product range in Australia:
- The ASX has been the brand’s third-best-selling model, with 12,330 units sold in 2024.
- The Eclipse Cross and Pajero Sport contributed 9,221 and 7,306 sales respectively to Mitsubishi’s overall tally of 74,547 units in 2024.
- This move will more than halve Mitsubishi’s current model range in Australia.
Mitsubishi’s Strategy Moving Forward
Despite this setback, Mitsubishi Australia has plans to maintain its presence in the affected segments:
- ASX Replacement: A new-generation ASX, based on the Renault Captur, is slated for release later in 2025. This model will be a product of the Renault-Nissan-Mitsubishi Alliance.
- Pajero Sport Future: An all-new version of the Pajero Sport, based on the latest Triton ute, is expected to debut in 2026.
- Eclipse Cross Uncertainty: While no immediate successor has been announced for the Eclipse Cross, Mitsubishi Australia has committed to launching eight new and refreshed models by the end of the decade, with a focus on popular segments like the small SUV space.
- Continued Focus on Best-Sellers: Sales of Mitsubishi’s top-selling Outlander and Triton models will not be affected by the new ADR mandate.
Industry Implications and Reactions
This move by Mitsubishi highlights the challenges faced by automakers in keeping up with evolving safety standards while maintaining a diverse and competitive product lineup. It also underscores the financial considerations that come into play when deciding whether to update existing models or introduce new ones.
Industry analysts have mixed reactions to Mitsubishi’s decision:
- Some praise the company for prioritizing safety and compliance, even at the cost of popular models.
- Others express concern about the potential impact on Mitsubishi’s market share and brand perception in Australia.
- There’s also speculation about whether other automakers might face similar challenges with the new regulations.
Consumer Impact
For Australian consumers, this change means:
- Limited Availability: While Mitsubishi has stated they have ample stock to last through 2025, availability of the discontinued models will eventually dwindle.
- Potential Deals: As dealers look to clear existing stock, there may be attractive offers on the outgoing models.
- Shift in Options: Consumers in the market for small to medium SUVs will have fewer Mitsubishi options to choose from in the short term.
- Anticipation for New Models: The upcoming Renault-based ASX and the next-generation Pajero Sport are likely to generate significant interest.
The Bigger Picture: Automotive Industry Trends (Mitsubishi)
Mitsubishi’s decision reflects broader trends in the automotive industry:
- Stricter Safety Regulations: Governments worldwide are implementing more stringent safety requirements, pushing automakers to constantly upgrade their technologies.
- Alliance Strategies: The use of shared platforms and technologies, as seen with the Renault-based ASX, is becoming more common as automakers seek to reduce development costs.
- Shift Towards Electrification: While not directly related to this decision, the industry’s focus on electric vehicles is influencing long-term product planning for many brands.
- Market Segmentation: The popularity of SUVs continues to shape product lineups, with brands like Mitsubishi focusing their efforts on these high-demand segments.
Looking Ahead: Mitsubishi ’s Future in Australia
Despite the current setback, Mitsubishi remains committed to the Australian market. The company’s plans for eight new or refreshed models by 2030 suggest a long-term strategy for growth and adaptation.
Key factors to watch include:
- The reception of the Renault-based ASX and how it compares to its predecessor in the Australian market.
- The development and launch of the new Pajero Sport, and whether it can recapture the market share of its predecessor.
- Mitsubishi’s strategy for the small SUV segment previously occupied by the Eclipse Cross.
- The potential introduction of new electric or hybrid models to align with global automotive trends.
Mitsubishi’s decision to discontinue multiple long-running models in Australia marks a significant moment in the brand’s history in the country. While it presents short-term challenges, it also opens up opportunities for renewal and innovation in Mitsubishi’s product lineup.
As the automotive landscape continues to evolve, with a focus on safety, efficiency, and electrification, Mitsubishi’s ability to adapt and introduce compelling new products will be crucial to its future success in the Australian market.
For consumers, industry watchers, and Mitsubishi enthusiasts alike, the coming years promise to be an interesting period of transition and anticipation as the brand reshapes its presence in Australia.