In a significant shift from its traditional product development approach, Mitsubishi Motors has confirmed an expanded rebadging strategy for several of its upcoming models, leveraging its position within the Renault-Nissan-Mitsubishi Alliance to maintain market presence while focusing internal resources on electrification and next-generation vehicle development.
This strategic pivot comes as Mitsubishi faces regulatory challenges in key markets and works to implement its ambitious “Challenge 2025” and “Momentum 2030” business plans, which call for introducing 16 new models over five years, including nine electrified vehicles spanning hybrid, plug-in hybrid, and fully electric powertrains.
Regulatory Pressures Drive Change
Industry insiders familiar with Mitsubishi’s product planning reveal that upcoming regulations have accelerated the company’s rebadging approach. In Australia, for example, new Australian Design Rules (ADR 98/00) mandating specific technical requirements for autonomous emergency braking systems have forced Mitsubishi to retire several long-running models that will no longer be compliant after March 1, 2025, including the current generations of the ASX, Eclipse Cross, and Pajero Sport.
Rather than rush completely new in-house designs to market, Mitsubishi has opted to replace some models with vehicles developed by its alliance partners. The most prominent example is the new ASX for markets outside Southeast Asia, which will be a rebadged version of the Renault Captur that has already been selling in Europe since 2023.
“This approach allows us to maintain presence in key segments while we concentrate our engineering resources on next-generation electrified vehicles,” said a Mitsubishi executive who requested anonymity because they weren’t authorized to speak publicly about product strategy. “The alliance was formed precisely for this kind of resource optimization.”
The European Connection
The rebadging strategy isn’t entirely new for Mitsubishi. In Europe, where the company briefly announced it was exiting the market in 2020 before reversing course in 2021, Mitsubishi has already introduced two rebadged Renault products: the ASX (based on the Captur) and the revived Colt (derived from the Renault Clio).
Unlike previous badge-engineering efforts that often made minimal visual changes to the donor vehicle, Mitsubishi has worked to give these models more distinctive appearances, especially after the 2024 facelift of the European ASX, which helped create a more cohesive look.
Mitsubishi Australia CEO Shaun Westcott has acknowledged the upcoming arrival of the Renault-based ASX, stating, “We look forward to sharing more details of this intriguing new SUV as we move closer to its market launch in 2025.”
Balancing Brand Identity
Industry analysts note that while rebadging offers short-term benefits, it creates challenges for brand identity. Mitsubishi previously experienced mixed results with a rebadged Renault Trafic sold as the Express van in Australia. Launched in 2020, the model was discontinued just two years later, with the company citing business and supply chain issues, though a zero-star ANCAP safety rating didn’t help its reputation.
“The rebadging strategy is walking a tightrope,” says automotive industry consultant James Hayashi. “Mitsubishi needs to maintain its brand essence while benefiting from the alliance’s shared platforms and technologies. Success will depend on how well they adapt these vehicles to meet the expectations of Mitsubishi customers, who value reliability, value, and capability.”
Ironically, the ASX rebadging marks a reversal of roles for the nameplate, which was previously sold by Renault’s French rivals Citroen and Peugeot as the C4 Aircross and 4008 respectively for five years. Those models were stopgaps while PSA Group (now part of Stellantis) worked through financial challenges and expanded its crossover lineup.
Core Models Remain In-House
Despite the increased reliance on rebadged products, Mitsubishi is maintaining in-house development for its core models. The company recently announced its 2025 model year lineup for North America, featuring a mid-cycle refresh for the Outlander that “transforms the interior and exterior” with revised front and rear styling and “greater levels of luxury in materials and design throughout the interior.”
The Outlander Plug-in Hybrid, which has become the brand’s flagship electrified model, also receives updates for 2025, including standard front heated seats on all trims, and a heated steering wheel and panoramic sunroof as standard on SEL trims.
“We’re seeing a two-track strategy,” explains auto industry analyst Sophia Chen. “For core volume models like the Outlander and specialized vehicles like the Triton pickup, Mitsubishi is maintaining in-house development. For secondary models in markets with challenging regulatory environments, they’re leveraging alliance partners to maintain a competitive lineup.”
Focused Electrification Plans
Mitsubishi’s strategy emphasizes that the rebadging approach is part of a broader transformation toward electrification. The company’s “Challenge 2025” plan calls for 50% of its global sales to be electrified models by 2030, increasing to 100% by 2035.
In Europe, the company has announced the 2025 launch of a new C-segment SUV featuring a petrol hybrid powertrain, advanced safety technologies, and state-of-the-art connectivity, including integrated Google services. A second C-segment model based on the new electric Renault Scenic is also planned.
For North America, the company’s “Momentum 2030” plan outlines expanding and refreshing its vehicle lineup with one new or completely refreshed model to debut each year between now and 2030, with the product line nearly doubling from today’s four vehicles through a selection of advanced internal combustion engines, hybrids, plug-in hybrids, and battery electric vehicles.
Future of the Alliance
Mitsubishi’s accelerated rebadging strategy comes at an interesting time for the Renault-Nissan-Mitsubishi Alliance. Recent reports suggest significant changes may be coming, including a potential mega-merger between Nissan, Honda, and potentially Mitsubishi.
Industry watchers question how long Mitsubishi’s Renault-based products will remain in the lineup if such reorganization occurs. “The use of vehicles from Renault invites questions about how long Mitsubishi’s new alliance-based models will last,” notes automotive journalist Thomas Reed. “The landscape is shifting quickly, and these products may end up being transitional solutions.”
For Southeast Asian markets, Mitsubishi has developed the stylish Xforce small SUV, which company CEO Takao Kato has said he hopes “to grow from a vehicle for the ASEAN market to a global strategic vehicle.” However, the Xforce currently falls short of regulations in markets like Australia, necessitating the use of the Renault-based ASX as an interim solution.
Customer Value Proposition
One challenge Mitsubishi faces with its rebadging strategy is maintaining its value proposition. The current ASX, for example, is priced from $24,490 to $35,240 (before on-road costs) in Australia, while the Renault Captur that its replacement will be based on commanded $33,000 to $39,500 before on-roads last year.
The significant price difference highlights the challenge Mitsubishi faces in positioning these alliance-based vehicles without compromising the value-for-money proposition that has made models like the ASX consistently strong sellers.
“Mitsubishi has carved out a space as a value brand that offers robust, feature-rich vehicles at competitive price points,” says consumer automotive expert Rachel Williams. “The rebadged models will need careful positioning to maintain this appeal while justifying potentially higher price points through enhanced features, technology, and perceived quality.”
Looking Forward
As Mitsubishi navigates this transition period, its success will hinge on how seamlessly it integrates alliance-sourced products into its lineup while maintaining brand distinctiveness and customer loyalty.
“This is a critical juncture for Mitsubishi,” concludes industry analyst Chen. “The rebadging strategy buys them time and maintains market presence while they develop next-generation models. The key will be executing this strategy without diluting what makes a Mitsubishi a Mitsubishi in the eyes of consumers.”
For now, the iconic Japanese brand appears committed to this dual approach: leveraging alliance relationships to maintain a competitive lineup across all key segments while focusing its in-house resources on core models and future electrified vehicles that will define the brand in the coming decades.
With first-quarter 2025 sales showing an 11% increase over the same period in 2024, early indicators suggest consumers are responding positively to Mitsubishi’s evolving product strategy, even as the company undergoes one of the most significant transformations in its long automotive history.