French car-maker PSA Peugeot Citroen had big plans to enter India and setting-up a plant at Sanand Gujarat but unfortunately that will not come about as planned. Peugeot have surrendered their right to the property on which they were planning to invest Rs.4000 crores in order to set up a plant on a 600 acre area.
This decision had come in the light of worst ever financial crisis Peugeot is experiencing back at home and hence investing in a new venture does not fit into their plan at the moment. The company has already defaulted in payments to the Gujarat Government and though the land was offered to them at a reasonable price, the commitments could not be met on time due to which the deal has been called off.
Peugeot had plans to make India their export base for RHD markets of ASEAN countries and Australia, however company sources have confirmed that there are no such plans as on date and will probably be reviewed once again when financial situations improve or in the next four to five years.
Also see the follows –
Peugeot may regulate India plans
Peugeot to conquer Indian car market
Peugeot performs ground breaking for Sanand automotive plant
2012 Auto Expo – Peugeot displays its 508, 3008 Hatch, Hybrid & RCZ
Peugeot to set up Rs 4000-crore facility in Gujarat
Peugeot’s 207 hatchback to be priced at Rs. 5 lakhs
Spied – Peugeot 207 and 508 in Pune parking lot
Spied – Peugeot 207 & 508 in India (Video)
PSA Peugeot Citroen has finalised Tamil Nadu to set-up plant
Andhra Government offers Peugeot-Citroen land @ Re 1 per acre
Peugeot Citroen’s entry into Indian markets
Source – Economic Times
