The Lie That Killed Mitsubishi

Mitsubishi used to be one of the most beloved car manufacturers in the world. After all, they gave us the legendary Lancer Evolution. But twenty years ago, they made a mistake so serious that it cost them not only the Evo, but their entire company. So how did a car brand known for dominating rallying and the movie screen become a bankrupt company and be forced to sell itself? Well, it had to do with bad business and a lot of lies. But who was Mitsubishi anyway? Well, a century ago, they were the Japanese giant that did it all. Shipping and trade, ships and steam engines, trains and wagons But after the economic devastation of World War II, Japan's industrial giants shifted their focus to automobile manufacturing.

However, for Mitsubishi, simply making cars was not enough. In the 1960s, Mitsubishi found Honda, which was falling behind its competitors, despite being a relatively new company, growing at a much faster rate, Nissan was beginning to dominate the market along with Toyota. And Mitsubishi saw that it all came down to a secret weapon. Motor sports. Honda had been racing on the Isle of Man since 1954 and then Formula 1 in 1964 Nissan went to Suzuka to race in the Japanese GP...in a car they called the Skyline AND Mitsubishi, well, they had nothing. This was 30 years before the Lancer Evo was even an idea in his head, so getting into motorsport meant starting from scratch.

But, right off the bat, they decided that they were not going to do it the traditional way, racing on circuits or building formulas. cars. No, they were going to earth. Mitsubishi had raced it once or twice in the past, but now it was time to get serious. They formed a team and in October 1967, Mitsubishi entered the international rally scene. They started with the Southern Cross Rally in Australia and their weapon of choice. It was the Mitsubishi Colt 1000F. And this little Colt came in first in the small engine class and fourth overall, the best debut Mitsubishi could have ever asked for, and from there, they were hooked.

In 1973, the WRC, the world rally championship, was introduced and Mitsubishi entered with its fully prepared Galant 16l GS. It had a 110hp 1.6L 4-cylinder engine and was a rocket at the rally stage. Mitsubishi was doing so well in the rally, they sent FIVE Lancer 1600GSRs to race in Australia and those Lancers took home 1st, 2nd, 3rd AND 4th place in the Southern Cross rally. Don't ask what happened to the fifth. In the '70s, Mitsubishi competed with Colts, Galants and Lancers on special stages around the world. And the public loved seeing the car in their driveway running at full speed on television, so sales increased at Mitsu dealerships.

But in 1973, the oil crisis hit and Mitsubishi had to reconsider its priorities to keep the company afloat, which meant the rally program was scrapped. But the desire to compete never went away and after 8 long years, Mitsubishi returned to rallying in 1981. This time they would compete under a new banner: RALLIART. You may remember that name—it was plastered on the back of every yellow Lancer from the early 2000s. But the brand's notoriety didn't happen overnight. Mitsubishi once again found itself catching up and they knew they would. They had to work hard to get back to the top, so they completely restructured their racing program.

Ralliart originally focused on Austria to be close to the rally stages... but after they kept losing, all development was moved back to Japan. And well, it still didn't work. When the Japanese team sent their new Lancer EX2000 turbo to compete, AUDI embarrassed them with the Quattro. So they went back to the drawing board. So they developed the 4WD Starion, but it was too late to the party. Group B was disappearing because too many people were dying, and Group A became the new class. So once again, Mitsubishi went to the lab and their newest weapon of choice was the Galant VR4.

The Galant had a 2-liter DOHC engine. Turbo 4 Banger called 4G63 and produced over 300 horsepower. Plus, full-time all-wheel drive and four-wheel steering, and with Ari Vatanen designated as its top driver, the future looked bright for Mitsubishi Ralliart. Maybe even better than promising, because Galant took home 6 WRC wins. But just when things were getting good, car trends began to change again starting in the '90s. Large and mid-size sedans were pushed aside and small, compact and lightweight contenders entered. And along with that, the rally stages themselves were becoming tighter, tougher and more technical. And well, the Galant VR4 was too big But Mitsubishi was smart, they prepared for this with a Plan B A Plan B called Lancer.

Your plan, on the other hand, should be to call Morgan and Morgan, the sponsor of today's video! Now, the Lancer had been around since the '70s, as a model between Mitsubishi's kei cars and the larger Galant. But, thanks to some clever packaging, Ralliart engineers figured out a way to cram all the rally-winning goodness into the smallest Lancer. And in 1992, they showed the world the Mitsubishi Lancer Evolution. The production model came in 2 versions: a more daily driver oriented GSR and the light and tough RS. At the heart was the same 2L 4G63. In street version it generated 244 hp.

To put that in perspective, the beloved Lancia Delta Integrale Evo made 40 hp less and weighed 240 pounds. And the rally car? Well, that was a 300 hp monster... But a good car is only half the battle, you also need a driver, but Mitsibishi didn't really have one. Young superstar Tommi Makinen visited the factory that year and Mitsubishi tried its best to woo him, but he told them he would think about it. And despite Mitsubishi's best efforts, they just couldn't make the landing with the new Evo. It was a fantastic machine, but his team only managed two podiums and came last in the championship.

There was potential there, but it needed to be unlocked. And well, there was a reason the Lancer was called Evolution: Mitsubishi went straight back into R&D and started improving the car. And just a year later the Evo 2 arrived! In street trim, the Evo 2 had a lighter front stabilizer bar, a larger spoiler and wider tires. With power increased to 252 hp But the most interesting part was undoubtedly those classic OZ 5 spokes. On the rally stage, the Evo 2 made its debut in Greece, where it came in second place. A big improvement over last year, but the second is just the first. loser, so they sent that same car to the Asia-Pacific rally where Kenneth Eriksson took that Evo 2 to first place, a big win for the entire program.

But remember in 1992, when Mitsubishi told Tommi Makinen that they would give him a seat? Well, he decided to accept it. Thus, in 1995, Tommi Makinen received the green light to be the team's main driver. And at Rally Sweden, Erikkson and Makinen took the Lancer's first overall win in the WRC by taking 1st and 2nd place in the event, a feat that would be just a preview of Tommi Makinen's future. And just a year after the Evo 2 made its debut. , the Evo 3 was already knocking down the door The third in the Evo trilogy still had the 4G63, but now made 270 hp on the road, along with a more aggressive aerodynamic setup.

On the racing side, the evo 3 had something called Anti Lag AND would first appear at the Tour de Corse in France with none other than Tomi Makinen behind the wheel. But he didn't win that race. In fact, the Evo 3 would not see success until 5 rounds later in Australia, where Eriksson took first place overall. It was enough to give Mitsu second place overall in the manufacturers' title, but they were a long way from winning it all, and that's thanks to Subaru's Colin McRae and Carlos Sainz, Mitsubishi's sworn enemies. Therefore, it was necessary to promote the Ralliart program and, a year later, in 1996, the Evo 4 would take the biggest leap.

The Lancer platform was completely redesigned, so naturally the Evo 4 saw big changes. Big changes indeed. Because for the first time Mitsubishi released the 4G63 engine! and then they turned it 180 degrees and put it back………. Ok, yes, it was the same engine, but spinning it up meant they could better combat the torque steer issues that drivers complained about with previous models. It now generated "276 horsepower" thanks to the Japanese Gentleman's Agreement. But the real improvement was something much nerdier. …Mitsubishi's new Active Yaw Control system was a standard option on GSR models and used steering, throttle and G-sensors to computer control torque split between the rear wheels.

At the time, it was a space age technology. But along with new technology, the Evo 4 became heavier. And the added weight and complexity made people wonder if Mitsubishi lost its way in its rally mission. But those people weren't going to find out this year. The WRC was once again about to change the rule book and move to a new class called "WR Cars", so Mitsubishi decided to stick with the Evo 3 for 1996 while they figured out the new regulations. Only Subaru surpassed them last year, so they were the target again. Also, Richard Burns was poached from Subaru and put alongside Tommi Makinen.

So now, with a team of promising talent and a proven car, all that was left was to compete, Tommi gave it his all that season. Swedish rally, first in the Safari rally, first in Argentina, the Lancer Evo was firing on all cylinders and Tommi was on the ride of a lifetime. He then he got first place in 1000 lakes in Finland, first in Australia... And then second in the Acropolis. But who cares about the Acropolis! Mitsubishi Lancer Evo and Tommi Makinen had finally done it. First in the WRC drivers' championship. Mitsubishi, for the first time in 30 years, was on top of the world.

It is no longer in the shadow of Toyota, Nissan, Subaru or anyone else. In 1997, much of the racing team transitioned to the new "WR" car regulations, but Mitsubishi raced one more year with group A rules permitted. This time they were using the Evo 4, and if the Evo 3 was up to par, then the 4 was a cheat code. Makinen ended up achieving 4 victories: Portugal, Catalonia, Argentina and Finland. But it was Catalonia that caught the attention of the fans. Catalunya was an asphalt rally, not a dirt one. And winning in Catalonia for the first time meant that the Evo was as capable on the street as it was on the dirt.

It wasn't just proof that the Evo could race anywhere, it was proof that Mitsubishi's technology was the best in the world. And for the second year in a row, Tommi Makinen and Mitsubishi took first place overall. In Drake's wise words, they went "back to back like Jordan 96-97." Mitsubishi was unstoppable. Tommi was unstoppable... And the lancer Evo? He was an icon now. Subaru and Toyota had their moments in rallying, but now there was a new leader in the game and everyone wanted an Evo. But if rally mastery isn't enough for you, maybe Jackie Chan can convince you...

In the 70s, Jackie Chan signed a deal with Mitsubishi. They would pay him and he would feature Mitsubishi in his films. And by a stroke of luck, both Mitsubishi and Jackie Chan were at the top of their games in the '90s. In 1995, Jackie's movie Thunderbolt took over the automotive scene. It was Fast and Furious before Fast and Furious. Not only did he co-star in a badass Evo 3 but his character in the movie was a Mitsubishi employee! And then there's the ever-viral Evo scene in his 1998 film "Who Am I." Everything lined up for Mitsubishi, and anyone who could get their hands on an Evo tried to get one.

But that was the warning: anyone who could get one. The Lancer Evo was only available in certain markets, first only in Japan and then some came to Europe. And the Evo V was no exception. But if you lived in Japan, well, you had: An adjustable spoiler, now made of aluminum. A wide body with wider wheels and tires and now factory Brembos if you bought the GSR model. And all that meant the Evo was still on top. Of the rally game Tommi and Richard remained the main drivers. And well, Makinen won again, making it a historic third place with Ralliart, beating Subaru, Toyota and Ford.

The following year, in '99, we got the Evo 6. It was mainly tweaks to the formula, along with a new RS2 trim level. But no one really cared... because in 2000, Mitsubishi released the best Evo to date, the Tommy Makinen Edition. The car was themed around Tommi's WRC success with a new front bumper and aerodynamics. Under the hood was a turbo with titanium wheels, designed for better response. The suspension was improved and specially tuned. And if you were lucky, you could get the car with a livery that paid homage to Tommis Ralliart's car. Tommi Makinen's edition was such a big leap over the Evo 6 that it was unofficially dubbed the Evo 6.5.

Keep in mind this was in 2000...a year after Tommi's 3 Peat. Oh whatsorry, did I say 3 peat? I meant 4-PEAT! Because Tommi won the WRC drivers' title AGAIN in 1999, Mitsubishi was on an unstoppable streak at that time, and it was thanks to Tommi and the Lancer Evo. But it seems that all good things must come to an end, because it was here that things took a turn for Mitsubishi. In 2001, the transition period from group A cars to WRs was about to end. This meant that the old group A cars could no longer compete. And since the Evos that were winning were all from Group A, it wasn't until now, Mitsubishi had to think about the next generation of ralliart cars.

In fact, when Mitsubishi debuted the WR rally, it technically only had about a year of R&D, and unfortunately, it wasn't enough. The WR-Class Evo debuted at the mid-season San Remo Rally and Makinen simply couldn't overcome the car's shortcomings. Tommi Makinen finished third that year in the drivers' championship, and that was mainly due to the fact that he ran first. half the season with the old car. The WR car just wasn't enough, and in a cruel way. Turn around, it was Richard Burns who took home the drivers' championship, but driving a Subaru AND MItsubishi he never really recovered from there.

The new WR Class rules were all it took to end Mitsubishi's reign. However, they didn't stop making consumer cars, in 2001, the Evo 7 was introduced. And since the WRC was no longer on the cards, Mitsubishi was free to do whatever it wanted. The Evo 7 was based on the Lancer Cedia, which was not a lightweight compact car. Which meant this was the fattest of the 7 Evos so far. Torque increased by 284 lbft via a new active center differential and LSD, while horsepower was still at the agreed-upon 276. But there was one thing that confirmed to people that the Evo was losing its identity, the Evo 7 offered with an automatic transmission.

They called it the Evo GTA, or Grand Touring Automatic, and it was as bad a slush box as you'd expect from 2001. Meanwhile, the Ralliart team was still working out its identity issues. In the past, all components of rally-built racing cars were designed in Okazaki, Japan, at the Mitsubishi plant. But with the new rules, it was agreed that Ralliart Europe would share the development burden with Japan. The idea was to shorten the time from development to the final product. And with this new structure, Mitsubishi ralliart debuted its new racing car at the ninth round of the year in Finland, Aaaand, the car stunk.

The car placed eighth in Finland. Their best driver scored TWO points all year...and it wasn't Tommi, Tommi went to the dark side to race for Subaru in 2002. Imagine doing a Tommi Makinen Evo edition and then letting him go to Subaru. The following year, in 2003, Mitsubishi stepped back from the rally. They said they needed more time to focus on developing a car that met their expectations and promised to return in a year. 2003 was also the year of the debut of the Evo 8. And this was groundbreaking because finally, for the first time, the Lancer Evo arrived in showrooms in the United States.

And it was all thanks to Subaru! Subaru did so well with sales in the United States after announcing the WRX that Mitsubishi realized there was a market for the Evo. Thanks Subaru! The Evo 8 was the first Evo developed at the Nurburgring. It came with Enkei wheels, Brembo brakes and Bilstein shocks along with a 5-speed manual transmission mated to the 4g63. And that was originally the only plan for the Evo 8 in the US. But by 2005, the Evo 8 sold so well that Mitsubishi expanded it to 5 different trim levels. The top of which was the MR. MR stood for Mitsubishi Racing and for the Evo 8 it meant an aluminum roof, custom Bilstein shocks, forged BBS wheels and a new engine tune that produced more torque.

The car was truly a success. And recent prices show how appreciated the Evo 8 is in the United States today. But the same success cannot be said of the rally team. After the break in 2003, they introduced the WRC04. This rally car was the product of a new Mitsubishi entity, MMSP, Mitsubishi Motor Sports. MMSP was now responsible for all motorsports worldwide and its sole objective was to return Mitsu to its former glory. But the WRC04 car fell short. The extra time to develop the car was overshadowed by the constant restructuring of the brand. It was such a disaster, that Mitsubishi backed out before the WRC season ended, citing that they needed to go back to the drawing board once again and prepare a better car.

On the showroom side, the next generation Evo was the Evo 9, announced in March 2005. And the headliner for the Evo 9 was its new Mivec technology. This was VTEC's younger cousin, to put it kindly. And with MIVEC, energy production finally increased. at 287hp and 289ftlbs. And now they came with launch control from the factory. Sure, it was mainly implemented to protect the transmission from grenades after the 7k clutch flipped, but it was a win-win. Well, almost, because while the Evo 9 was pretty good, Mitsubishi's sales weren't. They were suffering throughout the showroom. So much so that they ran the campaign 0-0-0. 0% down payment, 0% interest and $0 monthly payments for the first 12 months.

And well, sales skyrocketed! But guess what happened as soon as those 12 months were up... Tons of buyers immediately defaulted on their payments and Mitsubishi was left with a bunch of used vehicles they were never paid for... At the end of 2005, only They sold 124,000 cars worldwide. the whole brand! And as a result of the 0-0-0 campaign, Mitsubishi's credit operation was forced to pay $454 million to offset losses. Mitsubishi, as an automobile manufacturer, was in serious trouble. And well, that wasn't any better for the rally team. . The WRC05 car made its debut at the season opener in Monte Carlo and, to the surprise of many, finished third on the podium.

And well... that was the only podium until the last race in which the car came second in Australia. And it was a great metaphor for Mitsubishi as a whole. They showed glimmers of hope. Somewhere deep within the company was the DNA of a competitive vehicle. But when they put it all together, the end result was no longer what it used to be in the '90s. And in December, Mitsubishi announced that it was suspending all future participation in the WRC while it focused on "management" of the company's resources. company. Mitsubishi had definitively abandoned rallying. And almost at the same time, the first Mitsubishi scandal broke.

Mitsubishi had just confessed to covering up defective vehicles for 30 years. Basically, they knew of dozens of problems with their cars that required large-scale recalls, and they only acted on about 4 of them. Investigations concluded that Mitsubishi systematically concealed defects in more than 800,000 vehicles. the same type of defects that would cause a 220 pound

mitsubishi

bus wheel to fall off a moving bus and kill someone in another car... And the biggest scandal, they made an Evo 9 van and didn't bring it to America!! And then there was the Evo It didn't even get a 4G63... The car was built for 9 years.

There were cars, manuals, MR, GSR, police cars, blah blah blah. It's hard to get excited about a car from a brand that

killed

its own soul and identity and then even lied to its customers. It's not that I hate the Evo X, it's that I hate how the Evo story ends... Mitsubishi was reeling. They started partnering with anyone and everyone who can help them stay afloat, but it didn't work. In 2008, Mitsubishi closed its Australian plant, closing production for Australia and New Zealand. In 2012, they announced that their Western European plant would close. In 2015, North American production ended with the closure of its Illinois plant.

In 2016… The Evo was officially discontinued. But it was another scandal that made headlines, when partner Nissan found discrepancies in Mitsubishi's fuel economy claims. Mitsubishi admitted that they had been giving incorrect fuel consumption figures from 2002 onwards, using inaccurate testing methods. And this was the last straw. The auto industry put pressure on Mitsubishi for this, and they had lost what little trust consumers had. Mitsubishi was officially in a death spiral and it was Nissan who stepped in to try to save them from imminent bankruptcy by paying $2.2 billion for a majority stake in Mitsubishi. Today, 7 years later, the showroom of a Mitsu dealership is unrecognizable to enthusiasts of the brand.

This was the company that had not only the Lancer Evo, but also the Pajero Evos, 3000GT, Eclipses, FTO. And now, all they sell is the Mirage, the Eclipse Cross abomination, and the Outlander. Cheap, mediocre grocery shoppers. No sports cars, no soul. And for all its motorsport heritage, varied rally victories and action movie screen time, it seems Mitsubishi is now well and truly dead. Thanks for watching. Don't forget to subscribe and buy our merchandising to support the channel! I'll see you next time