NEWS

PCMA Rus to suspend production of Peugeot, Citroen and Mitsubishi models in Russia

Monday, Mar 30, 2015

The Russian joint venture between PSA Peugeot Citroen and Mitsubishi, PCMA Rus is planning to suspend production of Peugeot, Citroen and Mitsubishi models in the country.

The joint venture, which operates a plant in Kaluga, about 180 km from Moscow, plans to cut 100 jobs from the facility.

In the joint venture PSA Peugeot Citroën holds 70% stake and Mitsubishi Motors holds 30% share.

The company previously had good growth in the country but car sales in the country dropped in 2014 due to sliding oil prices and economic meltdown.

With plunging Russian currency, several carmakers including Ford and General Motors have scaled down their production from the country.

The production of the Citroen C4 Sedan and Peugeot 408 is expected to be stopped from 27th April to 10th July, and the production of the company's sport utility vehicles (SUV) will be stopped from 27th April until 12th May in Kaluga, reported Reuters.

 

automotive-business-review.com

 

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