Peugeot to re-enter Indian market

By vicky.in

Published: Thursday, June 17, 2010, 11:18 [IST]

Its seems the auto makers world wide are bitten by the Indian auto market bug. French car maker Peugeot is eager to re-enter our soil. Peugeot-Citroen is eyeing for a manufacturing plant location and Tamil Nadu is top of its list. Indian car market is increasing steadily and it expected to consume 60 lakh cars after 10 years. So, this tempting number is attracting auto giants worldwide.

According to one of the Tamil Nadu state government official, the state is in talks with Peugeot and the new factory will probably be located somewhere around Chennai.

As of now, nothing could be stated regarding the plant's capacity or the capital investment to be made by the French auto maker. But the company will likely establish a factory to initially assemble the parts and later develop a fully functional plant.

Chennai is a happy home for Hyundai and Ford, Hindustan -Mitsubishi Motors and BMW. Recently Renault-Nissan have set up plants. According to the Deputy Chief Minister of Tamil Nadu, Chennai will have capacity to produce 12.8 lakh cars and about 3.5 lakh commercial vehicles each year. This translates to an output of 3 cars/minute and 1 commercial vehicle/75 seconds. If the plant comes up near Chennai, it would make Peugeot as the second French major to enter Tamil Nadu after Renualt-Nissan.

Article Published On: Wednesday, June 16, 2010, 11:27 [IST]

Read more on: #automobile #cars #peugeot #peugeot citroen

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