Peugeot To Make A Comeback In Indian Markets

Peugeot was present in India a long time ago with its 309 model. The car was appreciated, however, the design grew old soon among Indian buyers. Now the French manufacturer is planning a comeback to India with an all new line-up of vehicles.

Peugeot had invested INR 4,000 crore in a facility at Sanand, Gujarat back in 2011, however, they dropped the idea then due to financial crisis and economic slowdown. It is expected that the French manufacturer may not resume its project in Gujarat and plans at an all new plant in another location.

Peugeot plan to set a new facility, when it comes to India at either Tamil Nadu or in Maharashtra. The French manufacturer will be taking help from their Chinese car manufacturer partner Dongfeng. They may also join hands with General Motors in India and utilise their facility, to lower initial expenditures.

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PSA Peugeot Citroen recently hired former Nissan Executive Emmanuel Delay. He has been appointed as the Operational Director for India-Pacific. Emmanuel Delay was closely associated with compact SUV Duster's success and knows the Indian market. He could be vital in the resurrection of Peugeot in India, after its absence.

Most international automobile manufacturers have launched themselves in India. Luxury car manufacturers like Mercedes-Benz, BMW and Audi have set their facility in India. They are able to price their vehicles competitively owing to their local facilities. Manufacturers like Mitsubishi and Isuzu are using Hindustan Motors facility to assemble their vehicles, which costs a bit more.

Peugeot will analyze the pros and cons before it re-enters the Indian market. They will also have to decide, which vehicles are ideal for India and which will be readily accepted. Peugeot has several hatchbacks, sedans and even MPV in their portfolio for European markets. It will be interesting to see where the French manufacturer places its vehicles.

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