KALUGA, Russia — French carmaker PSA Peugeot Citroën has officially confirmed that it will launch production at its first plant in Russia in the spring of 2010. According to François Poirier, director of Peugeot Russia, the new plant will operate in the city of Kaluga and at the initial stage will specialize in the production of Peugeot 308 five-door hatchback, and later will add Citroën C and Peugeot 4007 crossovers.
He also added that during the first year of its working, the plant will produce more than 45,000 cars under the Peugeot 308 brand, while by 2012 its production capacity will be increased up to 150,000 cars a year, and later to 300,000 units.
The total amount of investment in the project will exceed the equivalent of $429 million. The plant will have a capacity to produce nearly 100,000 units per year and will employ more than 3,000 people.
Earlier reports said Mitsubishi also planned to take part in the new project. However, due to its financial difficulties, the construction of the plant will be probably financed only by the French group.
According to Russian media, PSA considers Russia a high-priority market and next year plans to increase its sales by nearly 50 percent compared with 2009, to 45,000-50,000 cars.
The Peugeot 308 is the top-selling foreign car brand in the Russian market. Through October, Peugeot has sold more than 9,530 Peugeot 308s in Russia in 2009, which accounted for 36 percent of the marque's total Russian sales.
Inside Line says: PSA puts its money where its market is. — Evgeniy Vorotnikov, Correspondent
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mrw356 says:
08:14 AM, 12/20/2009
From the point of view that a car is merely an appliance, it looks pretty good. It looks like a generic Civic type car. I wonder what kind of engine it uses. Perhaps something like PSA builds for the new MINI?