In the aftermath of the end of car production activities in its Sakahogi, Japan plant, Mitsubishi Motors has inked a deal to sell the facility to a paper manufacturing company. This is the culmination of a chain of events that was signposted by the company’s decision to axe the Pajero from its production line last year. Retail sales have been below expected and the Pajero had been last redesigned more than 15 years back.

The loss of the plant was therefore inevitable for the Japanese automaker, and the current deal to sell the facility to Daio Paper was aimed to retain some jobs within the local economy. The deal is worth 4 billion yen ($33 million) and will see the new owners retooling the facility to produce paper products like tissue and toilet paper. The plant’s location in central Japan will offer Daio the flexibility to effectively supply Tokyo and Greater Osaka regions, which are major economic centers in the country. Daio holds a 30% share of the facial and toilet tissue market in Japan, and the new facility could see it expanding its reach.

There are mixed opinions relating to the future of the Pajero – an SUV with a rich history in Japan and across the world. The Australian market got the last glimpse of the SUV when the Final Edition of the model was presented in 2021. Up to 800 units were delivered at the time. There is also the talk of a possible collaboration between Mitsubishi and Nissan with the next-generation model underpinned by previous models. It is also rumored to come with a redesign by 2924 at the earliest.

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