PSMA Rus will extend its model range with light commercial vehicles and crossovers

PSMA Rus will extend its model range with light commercial vehicles and crossovers

Autostat – PSA Group is close to a return to profitability in the region of Eurasia (Russia and CIS countries) and will resume investments in the Kaluga plant, as told by the executive vice president and the general director of the French company in Russia, Ukraine and the CIS countries: Christophe Berzheran to Vedomosti. According to Berzheran, the car manufacturer will change the configuration of its production in Russia, at the Kaluga PSMA Rus plant (joint venture with Mitsubishi with 70% share belonging to the French), shifting to the production of several vehicle sizes, instead of one. Citroen C4 and Peugeot 408 are the only models manufactured in the factory currently. PSA Group will now manufacture 4 or 5 models in Kaluga, with an annual production amount of 10-15,000 units, so that each model brings a profit. A little bit over 25,730 Citroen, Peugeot and Mitsubishi vehicles have been manufactured in Kaluga in 2015 and 12,180 within the January-August period of 2016.

Citroen C4 and Peugeot 408 production will continue in Kaluga, said Berzheran. The organisation of LCV production in Kaluga is the initial project, as stated by Berzheran: “We have decided on the models, but not pressed the button yet”. The production will start in the following 3-4 months. The assembly of the new vehicles will start in November-December 2016, as told by one of the dealers of the group to Vedomosti. Light commercial vehicles will be presented under both PSA brands, in cargo and cargo-passenger versions. The source has not revealed the model names. According to the source, it’s not the biggest van, therefore it could fit into the spray booth in the Kaluga plant.

PSA Group expects a growth in the LCV segment in Russia. The current share of the company in the Russian market is 7%, however, 11-12% in Poland for example. “If the Russian market returns to 2.5-3 million units (in terms of sold vehicles) within the next 3-4 years and the share of the LCV rises up to even 8-9%, the segment promises a great potential” – as noted by Berzheran. Berzheran states that the LCV market is underdeveloped in the regional cities, “we may expect growth in those areas, in connection with the development of small enterprises”.

The group may also increase crossover production at PSMA Rus, alongside light commercial vehicles, as told by Berzherian. Crossover production would be an ideal decision in Russia, given the new EMP2 platform of Peugeot 3008. C4 Picasso compact vans will be assembled on the same platform, in addition to the new LCV groups – Citroen Spacetourer, Peugeot Traveller (replacing the similar previous passenger versions of Peugeot Expert and Citroen Jumpy). The platform will be used in the production of the entire new model range of the group in Kaluga. Berzharan has not disclosed the details, apart from the fact that the new 3008 and 5008 crossovers to be introduced during the Paris Motor Show in autumn will not be first models to launch in Kaluga.