The third generation of the Pajero/Montero/Shogun was the most significant change made by Mitsubishi in the vehicle lineup.
After two generations built on a ladder chassis, the third generation came with a completely new approach. The carmaker noticed that most customers used their Pajero/Montero/Shoguns on paved streets, and they asked for comfort. Thus, it made the 2000 model with unit-body construction and independent suspension in all corners. Moreover, the carmaker added the most advanced 4x4 system on the market, with three differentials and the possibility to drive the car with rear-wheel-drive only.
The rounded shapes of the third generation replaced the boxy shapes of its predecessor. Also, it increased its size in order to accommodate a roomier interior. Its flared arches, both front, and rear were inspired by sumo-fighters, but the headlights remained squared.
Inside, the Mitsubishi installed a seven-seat interior in a 2-3-2 configuration. The last row of seats was either stow-away or removable, while the second row was split-folding. Only the front seats were regular and unremovable. The dashboard was tall, with a distinct center stack where the carmaker placed the audio and climate controls, plus a small LCD at the top for the trip computer.
Depending on the market, the Montero featured a fuel-efficient range of diesel engines or a V-6 gasoline unit.