China: PSA and Dongfeng start the construction of their fourth plant image

The French automaker’s China joint-venture partnership with domestic carmaker Dongfeng Motor has started building their fourth assembly facility, a plant that would serve the mainland’s western regions when completed in 2016.

Dongfeng Peugeot Citroen Automobile Co. has scheduled the first models to roll out the assembly lines for 2016, when the 12.3 billion yuan ($2 billion) factory would be able to build as many as 360,000 vehicles annually.

According to a statement coming from PSA Peugeot Citroen, the facility would mostly cater for the production of SUVs and MPVs for the Peugeot, Citroen and Dongfeng brands. Dongfeng Peugeot was established back in 1992 and has built so far three other plants in the central China city of Wuhan – able to deliver no less than 600,000 vehicles each year. The joint venture had sales of 64,138 autos last month, rising 37% from the year-ago period; and aims to reach total deliveries of 700,000 units in 2014.

PSA’s other local joint venture in the world’s largest auto market is with China’s Chongqing Changan Automobile Co. and from the south city of Shenzhen the partners aim to build another 200,000 cars in 2015. The Changan-PSA joint venture only focuses on producing and selling Citroen DS cars and since September 2013, the firm has delivered 15,000 DS5 and DS6 autos.

Via Automotive News Europe