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Report: Mitsubishi could become new Saturn supplier

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1 1,325 views May 22, 2009

Supplying models for Saturn may provide a lifeline for Mitsubishi’s U.S. production facilities

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With confirmation Saturn is up for sale coming from General Motors earlier this month, a number of potential investors and buyers have come out of the woodwork recently and confirmed interest in the struggling brand. Two main groups include investment firm Telesto Ventures and Roger Penske’s dealer conglomerate Penske Automotive Group.

Even Renault-Nissan and auto parts supplier Magna International has been rumored to be eyeing a possible Saturn purchase, and while the field of potential suitors is varied there remains one common factor. Any new owner of Saturn will need to source new models to sell under the brand as GM will be cutting all ties with the struggling brand, including building cars for it.

This provides rival companies, especially those not already operating in the U.S., with a lucrative opportunity to utilize Saturn’s network of roughly 380 dealerships. According to The Detroit News, Mitsubishi is the latest carmaker to be interested in supplying vehicles for Saturn once it’s sold.

This would be the latest attempt by Mitsubishi to boost its production and presence in North America. Previously it was in talks with Chrysler over a deal to supply the American carmaker with several different models, including an electric minicar.

Mitsubishi has a single American production plant, located in Normal, Illinois, which currently produces the Galant sedan but poor sales has plant officials considering building other models.