Mitsubishi officials Friday reaffirmed that their cooperative venture in trucks and buses with Sweden's Volvo is still on,
despite DaimlerChrysler's 34 percent stake in Mitsubishi's car division.
There has been much speculation that Volvo and Mitsubishi's deal would fall apart after DaimlerChrysler bought the controlling share in Mitsubishi last year. Volvo is scheduled to buy 20 percent of Mitsubishi's truck subsidiary, which it is supposed to spin off this year. Although Volvo and Mitsubishi are reportedly working on a joint medium-duty truck for Europe and Asia, reports that a purchase price for the truck business had not yet been established recently sent rumors flying again.
Mitsubishi President and CEO Takashi Sonobe made the remarks while speaking at a joint press conference with DaimlerChrysler executive Rolf Eckrodt, who took over as head of Mitsubishi's day-to-day operations under Sonobe's strategic control.
"I have repeatedly said that operations are internally separated," Sonobe said, according to published reports, with DaimlerChrysler involved in the car division and Volvo in the commercial vehicles arena. "There is no change to the alliance plans with Volvo. Everything is proceeding as planned."
Eckrodt was appointed chief operating officer and executive vice president of the struggling Japanese automaker. The company needs to win back customers, restore profit and reduce debt.
"Volvo is not a problem for me," Eckrodt said. "I concentrate on the car business. In the company (Mitsubishi), there is clear cost-sharing. As long as costs are (properly) allocated, there is no problem with Volvo."