According to union declarations, the French automaker PSA Peugeot Citroen has decided to invest 150 million euros ($187 million) during a three-year period in the production of upcoming vehicles at the factory in Poissy, near Paris.
The second-largest European automaker has been deeply affected by the region’s economic crisis, which led to two-decade low sales after a six-year slump in demand. The carmaker has been implementing a recovery plan now, after securing much needed cash from China’s Dongfeng and the French government – both becoming stakeholders in the process. Many of the moves also involved cutbacks in high-priced France, but now the latest investment plan is safeguarding the facility’s future for at least a decade – though the unions say there will be cutbacks operated here as well.
PSA recently announced the unions it aims to upgrade Poissy as part of its larger investment masterplan worth 1.5 billion euro as the company pledged to significantly augment French productivity if the workers’ representatives agree to job cuts and productivity increases. Jean-Francois Kondratiuk, an FO union official that is also part of PSA’s board, said that Poissy – which currently builds the Citroen C3, Peugeot 208 and DS3 subcompacts, will start making a compact vehicle from 2018.
Via Automotive News Europe