PARIS/KUALA LUMPUR — PSA Group has sealed a understanding with Malaysian association Naza to jointly furnish PSA-branded cars for Malaysia and other Asian markets. It is partial of a automaker’s skeleton to boost a participation in a segment after a unsuccessful bid to form a partnership with with Proton Holdings.
PSA pronounced in a statement on Monday that it had sealed a share sale agreement and a corner try agreement to settle a common production heart in Gurun, Kedah, in Malaysia. PSA will possess a 56 percent interest in a production hub, though no understanding value was disclosed during a press eventuality in Kuala Lumpur.
The Malaysian plant will have a 50,000-unit capacity. Output of a Peugeot 3008 will start this year, with a Citroen C5 Aircross following in 2019, PSA said.
Naza pronounced that with a corner try it directed to trade 20,000 cars from a plant in a subsequent 3 years.
“The Naza Group will have solitary shortcoming for a placement of Peugeot, Citroen and DS Automobiles in a domestic marketplace and, with PSA, will try placement prospects in other ASEAN markets,” a matter said.
PSA pronounced a understanding shaped partial of a company’s Push to Pass strategic devise to boost sales. That devise envisages a 10 percent boost in sales by 2018 and a serve 15 percent by 2021 contra 2015 for a French group.
“The origination of a ASEAN (Association of South East Asian Nations) heart in Gurun, Kedah, is a poignant jump brazen for PSA that will lead to a growth of a essential business in a segment as partial of a Push to Pass vital plan,” PSA CEO Carlos Tavares said.
PSA’s entrance into Malaysia echoes that of Chinese manufacturer Zhejiang Geely Holdings Group’s final year. Geely bought a 49.9 percent interest in Malaysia’s Proton, pledging to assistance a struggling inhabitant automaker to strengthen a participation domestically and in a region. PSA was also in a using to form a partnership with Proton.
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