Chennai has yet again become the centre of attraction with Peugeot–Citroen eying it as the location for their manufacturing facility of mid sized cars. Following most of the major auto manufacturers decisions to enter the emerging Indian market, Peugeot-Citroen as we reported earlier, is following suit.
In its previous attempt eleven years ago, Peugeot joined forces with Premier Automobiles, and rolled out the 309 model in India, which was a catastrophe.
With the sales falling at its home turf in the wake of the economic crisis, the manufacturer is looking at emerging markets for its business.
The company plans to roll out cars in India in the next two years, with the first deliveries scheduled for 2011. It has chosen to make its play in the above Rs 5-lakh segment. Recently, it also conducted a feasibility study of its various Peugeot-Citroen brands like 407, 206, 308, C4, and C5.
Peugeot will be marketed as a mainstream brand while Citroen will be targeting the top end and it intends to launch both the brands in a short timespan.
Apart from India, Peugeot–Citroen is also looking at locations in Poland and Turkey for its assembly plant. Peugeot's small car is slated to be released in a number of emerging markets including India, China and South Africa.