Mitsubishi Motors has officially terminated its joint venture partnership with Shenyang Aerospace Mitsubishi Motors Engine Manufacturing Co., Ltd., marking the Japanese automaker’s full withdrawal from the Chinese market.
The joint venture, established in 1997 with partners including China Aerospace Automobile Corporation, produced engines for both Mitsubishi vehicles and other Chinese automakers. Production began in 1998, supplying engines not only to Mitsubishi but also to domestic Chinese car manufacturers.
Although Mitsubishi ceased passenger vehicle production and sales in China in October 2023, the engine joint venture continued operations, supplying engines to Chinese automakers and providing after-sales support for existing vehicles. Now, with the termination of this partnership, Mitsubishi has completely ended all business activities in China.
This move reflects the growing challenges faced by Japanese automakers in China’s rapidly evolving EV market. As domestic Chinese brands accelerate their electrification strategies, slower-moving Japanese firms like Mitsubishi have seen their market share shrink significantly.
