PSA tries to revive sales in China image

After a booming period, Peugeot Citroen and its Chinese partner are now pushing to revert the recent downward sales trend by making some changes to their management structure.

The collaboration between PSA Peugeot Citroen and China’s Dongfeng Motor has been quite a successful one in terms of sales up to 2014, reporting solid growth each year. However, the demand has started to slowly fade away and, after just a slightly increase in 2015, sales dropped 20 percent in the first five months of this year. The 50-50 joint venture is now trying to move things around, as it announced the appointment of Jean Christophe Marchal – Dongfeng Peugeot’s vice general manager for production – as Executive Vice President, effective 1 August. He will replace Jean Mouro, whose next role within the PSA Group will be announced at a later time, the company said in a statement. In parallel, Su Weibin will replace Qiu Xiandong as General Manager of the venture, effective as of the same date.

As part of the effort, the automakers said in May they would modify that jointly developed Common Modular Platform to spawn electrified B and C segment models for the Peugeot, Citroen, DS and Dongfeng brands from 2019. They also plan to upgrade the engine lineup and to introduce a dual-clutch transmission, an eight-speed automatic transmission and a six-speed manual gearbox.

Dongfeng is not only the French carmaker’s local partner in the world’s largest auto market, but also one of the major investors in the Group, after it rescued PSA from bankruptcy – also helped by the French government – a couple of years back.

Via Automotive News