Alert: Peugeot may close Aulnay-sous-Bois plant on July 25 image

French car maker Peugeot may close its factory in Aulnay-sous-Bois on July 25, Gerard Segura, the mayor of the town where the factory is located said Monday.

“We are extremely worried that near the end of the month, when the group publishes its results, that it will likely announce its intention to close the Aulnay site,” Segura said on Monday at a roundtable organised by industry minister Arnaud Montebourg.

The company has 3,600 employees on this location.

The announcement comes a week after PSA Peugeot Citroen said the company plans to sell least 50 percent of its profitable Gefco trucking unit, as the carmaker is seeking to raise cash amid slumping sales.

Last month, PSA Peugeot Citroen led French light vehicle sales lower as its home market contracted 17 per cent for a ninth straight monthly decline, the country’s main auto industry association said on Friday.