ISSUE 118 M ar c h 2 0 19 External Trade Organization

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Exceptional sales for Motors in 2018 Inside this Interview with Mr. Bernd Hoch, Managing Director of Switzerland issue Despite a general contraction in MMC entered the Swiss market Exceptional 1 sales in Switzerland in 2018 in 1977. The same year MMC sales for + (-4.6%), Mitsubishi Motors en- expanded to Europe. We pro- Mitsubishi 2 gressively increased the number Motors in + joyed an incredible growth 2018 3 (+47.8%). We met Mr. Bernd of available models over the years and became one of the most im- EPA and suc- 3 Hoch, Managing Director at cess stories at Mitsubishi Motors Switzerland portant 4WD providers in the the menu of to discuss this solid result and country. In 2006, we had a joint the Zurich event the company’s plan for the com- venture with Emil Frey, a group ing year. Taking the opportunity with which we share a long-term PHEV: A win- 4 vision in business. In 2011, we win solution of the Geneva International Mo- tor Show (GIMS: March 7-17), moved our Headquarters to Agenda: Ge- 4 we also asked about the latest Härkingen. We are proud of our neva Interna- trends in the car industry. distributors' network. Some of tional Motor Show until them have been working with us March 17th Could you please briefly intro- Mr. Bernd Hoch, Managing Director since day one and it is the third duce Mitsubishi Motors? generation to work with us. Mitsubishi has a very long story. automotive division, but MMC is a global company and The company was created in Mitsubishi's involvement in car does not develop for one 会見 1870. Originally it was a shipping industry is much older. In 1917, market in particular. The MMC company but quickly turned into Mitsubishi created the first Jap- cars you find in Switzerland are INTERVIEW the largest Japanese conglomer- anese series-car, and 20 years the same you would find in Japan ate thanks to vision of its found- later produced the first Japanese or in the US. Only the equipment er Mr. Yataro Iwasaki. 4x4. As you can see, the DNA of varies, depending on people's After World War 2, the Allies MM started very early. preferences. We want to provide forced Mitsubishi to split into high technology and design at a several smaller companies that Since the beginning, our busi- reasonable price. kept informal bonds and shared ness has been based on three The European market (including the brand and trademarks. The principles: Corporate Responsi- Switzerland) represents 20% of four main companies of what bility to Society, Integrity and Mitsubishi sales worldwide. became the Mitsubishi Group Fairness, and Global Under- are: MUFG Bank, Mitsubishi standing through Business. This In your experience, what are Corporation (trade), Mitsubishi is still true today and means a lot the specificities of the Swiss Electric, and Mitsubishi Heavy to us. market? Industries. I would say that Switzerland is a Mitsubishi Motors Corporation What where the main steps for mature and competent market. (MMC) was formed in 1970 from Mitsubishi Motors in Switzer- the Mitsubishi Heavy Industries’ land? (continued on page 2)

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Exceptional sales for Mitsubishi Motors in 2018

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会見 It is a highly competitive market where most people are equipped INTERVIEW with cars. Increasing your market share means you take it from a competitor. Swiss people like their cars to be well equipped. The purchasing power is high and we have a specif- ic line up for this market; just com- paring with neighbor countries, the average level of equipment is much higher here. This said, people are ready to pay more, but it has to be The new ASX a compact SUV fitted for both urban and extra-urban areas fair. It is also a market with an in- strategy based on three pillars: Top tion and emissions). Our engineers credibly high share of 4WD cars. seller, Pick-Up and Outlander anticipated it well in advance and They represent nearly 50%, which PHEV. we suffered no delay in delivery is unique in the world. We wanted to increase our sales for because of it. Other brands some- Generally speaking, the Swiss mar- our top sellers for which we adver- times had to delay until WLTP ket is very open to new technology. tised and had full production ca- certification was done. It is true for cars, but also for com- pacity. It worked very well. puters and smartphones. This is We also focused on pick-up. It is a Which are Mitsubishi’s most why companies like to test new niche market, but very important popular cars in Switzerland? products in the Swiss market. for SMEs and Mitsubishi Motors Our best sellers are the Space Star,

enjoys a very good reputation in the Eclipse Cross and the Outland- Despite the market slowdown in this category. We started at 5% of er PHEV. The Outlander is the 2018, Mitsubishi sales increased market share in 2017, are currently bestselling rechargeable hybrid in by nearly 50%. How do you ex- at 8% and be at 10% soon. Europe and Switzerland. Those plain this exceptional result? Finally, we changed our strategy three cars represent 65% of our Except maybe for a bit of luck, I regarding our flagship. For years, sales. As said, our pick-up is also would say that our new strategy when people thought about doing very well, but it is a niche worked and that thanks to the Mitsubishi, they immediately had market. MMC engineers, we suffered no the Pajero in mind. We still pretty delay (I will come to this later). much like the Pajero, but wanted to What cars does Mitsubishi Mo- Sometimes we hear that Mitsubishi focus people’s attention on the Out- tors highlight in 2019? Motors is all about: SUV, 4WD lander PHEV (more about this on The new ASX we present this year and PHEV. This is a bit of an over- page 4). at the GIMS as a world premiere simplification, but not completely In addition to our new strategy, I will be available this autumn. We wrong either. We are not present must say that the MMC engineers will then have a very complete line on all segments, but we want to be did a great job. Since September up of SUVs. Starting with the com- better than average in the segment 2018, every car has to be homologat- pact ASX, then the mid-size we are in. This is possible because ed with the new WLTP test proce- Eclipse Cross and finally the Out- we are agile and flexible. dure (replacing former NEDC, to lander, Therefore, in 2017, we started a better inform on actual consump- (continued on page 3)

Issue 118 Page 3

Exceptional sales for Mitsubishi Motors in 2018 (continued from page 2) We have observed a shift of peo- will be the infrastructure to accom- 会見 clients will have their needs cov- ple's preferences from diesel to gas- modate them, with enough recharg- ered by an exhaustive choice be- oline. It dropped from 40% of mar- ing stations. INTERVIEW tween 4m30 and 4m70. ket share to 30% within two years. Digitalization will also continue. We will continue to highlight the It is a lot, for such a short period. Today, more and more cars are con- latest version of the Outlander Nevertheless, diesel remains a good nected. PHEV we introduced at the end of option depending on the vehicle. I am not sure that autonomous ve- 2017. Diesel and gasoline will continue to hicles will be the new standard in We don’t expect to have the same be improved. the coming years. It will probably increase of sales for 2019. As said, Electrification will continue and take more time and, in the end, the production of our new model accelerate. It can be hybrid consumers will decide. What seems will start this autumn. The positive (rechargeable or not) and full elec- clear is that driving-assistance sys- effect is more likely to be seen in tric cars. It is a very dynamic mar- tems will increase because they 2020. ket and I believe electrified vehicles improve the security. What are the latest trends and will represent 20% of the market technologies? within 5-6 years. One of the keys

EPA and success stories at the menu of the Zurich event The joint event in Zurich was a 活動 great success. This year a special panel answered ACTIVITY the questions of the audience re- garding the recent entry into force of the Japanese-EU Economic Part- nership Agreement (EPA) and how it will affect Swiss and Japanese companies in their business with each other. The panel agreed on the fact that the JP-EU EPA has a broader coverage, but the JP-CH one already includes the most im- portant points for both countries. From the left to the right: Mr. Dominique Urspring (SJCC), H.E. Ambassador Markus Schlagenhof (SECO), Mr. Simeon L. Probst, (PwC), Mr. Hiro Hinoue Companies also shared their expe- (JETRO Brussels) and Mr. Luis Portero (European Commission) rience regarding the Japanese mar- ket. Credit Suisse and ICT Factory highlighted the importance and Thanks to his experience, he could companies like Fischer Connectors. potential of the ICT Japanese in- answer the questions of the audi- Amongst other things, JETRO can dustry. ence from a very practical point of provide information about the Jap- Mr. Rodriguez from Fischer Con- view, helping other companies with anese market and help you to iden- nectors talked about their well- their business in Japan. It is always tify the right local partner for your performing subsidiary in Japan. a privilege for JETRO to support project. Issue 118 Page 4

PHEV: A win-win solution 革新 PHEV stands for Plug-in Hybrid the combustion engines. The com- it limits the weight of the car. . Hybrid cars com- bination of both engines allows the For people that have the possibility INNOVATION bine both a combustion engine car to benefit from the power of to recharge the car at home or in (gasoline or diesel) and an electric an electric car, keeping very low the office, PHEV is a very suitable propulsion system. With a re- emission (40g/km for the Outland- option. If not, non-rechargeable chargeable hybrid car, it is possible er). hybrids can be an alternative, but to have a larger battery and there- Additionally, by using a smaller the range in full electric mode will fore to increase the autonomy of battery, it is easier to recharge with be significantly limited. the car with only electric propul- a simple domestic electric plug and sion. “We like to describe our Outlander PHEV as a Swiss Knife”, said Mr Hoch during our interview. “People can use electric propulsion for daily use and enjoy the range of a con- ventional car for the weekend or holidays”, he added.

The Outlander PHEV has 54km range in electric mode only and 800km with both the electric and The Outlander PHEV, the best selling PHEV in Europe

Agenda: Geneva International Motor Show until March 17th Regarding automotive, Switzerland 日程 sent their completely new compact and meet Mitsubishi Motors’ CEO, is a neutral market and every car SUV - the ASX - in Geneva. Mr. Osamu Masuko, and Mr. Tsu- AGENDA manufacturer is treated fairly. This MMC will also present its new nehiro Kunimoto (chief designer) is also why the Geneva Internatio- L200, as well as the Engelberg Tou- who came especially from Japan. nal Motor Show (GIMS) is appre- rer, a concept car labeled with the ciated by the industry. For MMC, name of a Swiss mountain. It cer- Hall 4: Mitsubishi Motors, , the GIMS is the most important tainly shows the importance of , , and event in Europe. Switzerland for MMC. Hall 5: and This is why MMC decided to pre- At the GIMS, people could be lucky Hall 2:

JETRO is a government-related organization that works to promote mutual trade and investment between Japan and the rest of the world. Originally established in 1958 to promote Japanese exports abroad, JETRO’s core focus in the 21st century has shifted toward promoting foreign direct investment into Japan and helping small to medium size Japanese firms maximize their global export potential. JETRO Geneva The JETRO Switzerland Newsletter can also be viewed and/or downloaded online: 80, Rue de Lausanne http://www.jetro.go.jp/switzerland/newsletter 1202 Geneva Phone: 022 732 13 04 Fax: 022 732 07 72 E-mail: [email protected]

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