Plug-in SUV Production to Resume at MMC

Mitsubishi Motors Corp. aims to begin building Outlander plug-in hybrid SUVs again next week, five months after it suspended production because of a battery problem, The Nikkei reports.

An investigation indicated some of the SUV's lithium-ion batteries were being dropped and damaged during shipping and handling, then short-circuiting when used. The company has installed new processes and equipment to cure the problem.

MMC plans to build 2,000 Outlander plug-ins per month at its plant in Aichi Prefecture and double that output by next May, according to the Tokyo-based newspaper.

The company halted production early this year after a lithium-ion battery short-circuited in an Outlander plug-in that was awaiting delivery. The company also stopped making other vehicles that use the same battery, including its i-MiEV electric city car. Production of those models resumed earlier this month.

MMC has a backlog of about 18,000 order for Outlander plug-ins, The Nikkei says. The newspaper adds that batteries remain in short supply, so the company will delay shipments to the U.S. until it can fill orders in Europe, Japan and other markets.