Production at Mitsubishi's US plant will continue at least until the end of August 2012 after a deal was agreed with a local union.

Mitsubishi Motors North America (MMNA) on Monday said United Auto Workers (UAW) Local [branch] 2488 members had ratified an agreement that "dramatically improves the ability of the company's Normal, Illinois assembly plant to be a key player in the global success of Mitsubishi Motors".

The agreement includes provisions guaranteeing that production will continue at the plant to the end of August 2012. The pact also provides job security for more than 1,200 current UAW workers to the end of the agreement period.

"We are extremely pleased with this agreement," said MMNA Manufacturing president & CEO, Shiro Futaki.

"For our customers and dealers, the agreement underscores in no uncertain terms that Mitsubishi Motors is committed to being competitive and successful in the US market."

Futaki praised the agreement as a symbol of his employees' teamwork and determination to succeed.

"The leadership of both the UAW and MMNA recognise the tough issues facing the US automotive industry and we have worked together toward solving them," he said.