Confirmed: Mitsubishi to End Chrysler Raider Deal

What was only a rumor one month ago appears to be actually true: Mitsubishi Motors North American will end the agreement with American automaker Chrysler to build a midsize pickup truck for the local market. For those of you who don't know, Chrysler is currently manufacturing Mitsubishi Raider at the Warren, Michigan production facility. The Raider pickup is a rebadged version of Dodge Dakota which, given the economic downturn and the collapsing sales in this sector, may bite the dust in the next few years.

Mitsubishi says selling the Raider is not a part of the company's plans anymore as sales of pickup trucks fell dramatically since the beginning of the crisis. The contract between the two automakers runs until 2010 and Mitsubishi says it won't sign a new deal.

"There's no plan for us at this time to continue that product beyond 2010," Mitsubishi spokesman Dan Irvin was quoted as saying by AP.

Mitsubishi Raider sales fell 65 percent in 2008 versus the year before, with 2,935 units delivered in the United States. In addition, Dodge Dakota deliveries unveiled a drop of 49 percent as only 26,044 units were sold in 2008, AP wrote quoting figures provided by Autodata Corp.

It's not yet clear whether Chrysler aims to continue building Dakota after the contract with Mitsubishi ends in 2010. Asked if the company plans to keep the Dodge pickup on the market, Chrysler spokesman Bryan Zvibleman refused to provide too many details but mentioned the model remains in production "for the foreseeable future," the same source reported.

The joint venture production facility in Dundee, Michigan that currently manufactures four-cylinder engines for both Mitsubishi and Chrysler will continue its operations even beyond 2010.