Electric vehicles are assumed to gain ground in Southeast Asia. Mitsubishi will test the market by first rolling out plug-in hybrids since they are not restrained by sparse charging infrastructure or battery capacity, which limits travel distances for full-electric vehicles. Critical parts such as for instance batteries will be sourced from Japan for local assembly. Mitsubishi targets an annual output of 3,000 units, which at the start will be sold in Thailand.

 

The automaker introduced its first plug-in hybrid in 2013. Last year, it produced about 54,000 at facilities in central Japan's Aichi Prefecture, with about 90% exported to Europe and beyond. In July, Mitsubishi started selling imported Outlander plug-in hybrids in Indonesia. Thailand has readied tax incentives to encourage domestic production of plug-in hybrids and electric cars. The government asked automakers to submit production proposals by the end of 2018. Japan's Toyota Motor, Honda Motor and Mazda Motor are among those thinking about manufacturing these vehicles in the country.

 

Mitsubishi's Laem Chabang plant boasts an annual capacity of over 420,000 units, among the automaker's largest output hubs. The automaker has now exported a total of 4 million vehicles from Thailand - an achievement marked by Masuko's visit this week. On top of the plug-in hybrid facilities, the company plans to invest 25 billion yen over the next several years to upgrade coating facilities and automate its plants.

 

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