Mitsubishi says cooperative deal is set

August 14, 2007

AUTOMOTIVE

Mitsubishi Motors Corp. has no plans to expand its current engine alliance with Chrysler LLC and Hyundai Motor Co., Fumio Nishizaki, a Tokyo-based Mitsubishi Motors spokesman, told Bloomberg News on Monday.

"At the moment, there are no talks to expand our current engine alliance," Nishizaki said in response to a Free Press report last week that said Chrysler was talking with Mitsubishi and Hyundai about possible new partnerships.

rank Klegon, Chrysler's executive vice president for product development, said one possible scenario could call for Hyundai-made engines for Chrysler vehicles in China and Chrysler-made engines for Hyundai vehicles in the United States. Klegon stressed that nothing had been committed to.

Mitsubishi, Hyundai and Chrysler already supply engines to each other through a joint venture that includes a plant in Dundee.

Carmakers, UAW due at Chicago rally

Detroit automakers and the UAW will hold a rally in Chicago on Thursday to lobby Illinois lawmakers over fuel economy standards.

Managers from Ford Motor Co. and Chrysler LLC plants, and a couple of hundred UAW members, are expected to demonstrate in favor of the Hill-Terry bill, which automakers favor over more onerous fuel economy proposals from the Senate.