Peugeot to maintain vehicle production at site near Lille, France
31 August 2012 15:30 [Source: ICIS news]
LONDON (ICIS)--Peugeot plans to invest €750m ($938m) to secure production at its site in Valenciennes-Hordain near ?xml:namespace>Lille in northern France, the French car major said on Friday.
The announcement will come as a relief for many chemical firms who last month warned of serious impacts on their production from Peugeot’s planned closure of another car plant, at Aulnay, near Paris.
Peugeot said that it has managed to win Toyota as a partner to produce light commercial vehicles at Valenciennes-Hordain, and it agreed with workers on measures to improve the site’s competitiveness.
Peugeot currently operates Valenciennes-Hordain in a joint venture with Italy’s Fiat. However, Fiat decided to pull out of the venture, which cast doubt on the site’s future.
”We identified the economic conditions which were necessary to continue making light commercial vehicles and to ensure that the plant remains in operation,” said Philippe Varin, chairman of Peugeot’s managing board.
Peugeot is Europe's leading manufacturer of light commercial vehicles, with a 20.8% market share in the first half of 2012, according to the company.
($1 = €0.80)By: Stefan Baumgarten+1 713 525 2653
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