Peugeot to Manufacture 3008 in Malaysia

PSA, the European auto group that includes the Peugeot, Citroen, and Opel brands, announced on Monday it would create a new joint venture in Malaysia for the production of some of its vehicles for the countries in the ASEAN region.

21 photos

The joint venture builds on the existing partnership with Naza Corporation, a Malaysian conglomerate involved in anything from auto manufacturing to education. As per the terms of the agreement between PSA and NAZA, some of the European cars will be manufactured locally at the Naza Automotive Manufacturing (NAM) plant in Gurun, Kedah.

The plant will be PSA’s first dedicated attempt to produce cars for the ASEAN region as a whole, while Naza will become the sole distributor of the Peugeot and Citroen brands. The joint venture targets a huge automotive market, counting some 680 million customers.

The first model to be produced in Malaysia will be the Peugeot 3008, starting this year. From 2019, the Gurun facility will also begin assembling the C5 Aircross for Citroen. In all, the new plant will have a production capacity of some 50,000 vehicles a year.

The facility was used until recently by Naza to produce several cars for the local market, including versions of the Peugeot, 206, and 407, or the Citroen C4.

“The creation of the ASEAN hub in Gurun, Kedah is a significant leap forward for Groupe PSA which will lead to the development of a profitable business in the region as part of our Push to Pass strategic plan,” said Carlos Tavares, PSA Chairman of the Managing Board.

“We are pleased to partner with Naza Corporation Holdings and continue leveraging our historical relationship.”

According to data released by JATO Dynamics, Peugeot ranked 14th globally regarding cars sold in 2017, with a total of 1,590,300 cars. The other brand of the PSA group, Citroen, finished 23rd, with a little under 1 million new vehicles delivered.

Let's block ads! (Why?)