Mitsubishi Motors Corp (MMC) announced Tuesday (25/7/00) that it is to modernise its Oe plant in Nagoya in preparation for production of a new vehicle in 2002, reports Kyodo News Service (25/7/00).

The company plans to spend 20-30 billion yen in the plant, set to produce around 100,000 of the jointly-developed Mitsubishi-DaimlerChrysler cars annually. The site is to close temporarily to allow for remodelling, with current MMC production and staff to be reallocated to other plants.

The joint venture to build the 1.1 - 1.5 litre cars, which was part of the Mitsubishi-DaimlerChrysler alliance accord reached in March, will see production of the vehicle take place at a Netherlands plant from 2004.