French car manufacturer PSA Peugeot Citroen (PSA) has finalized plans to set up its first car manufacturing facility, by an investment of Rs. 4,000 crore at a site near Sriperumpudur in Tamil Nadu, Times of India has reported.
PSA Peugeot Citroen joins the list of automobile manufacturers like Ashok Leyland, Hyundai, BMW, Ford, Renault-Nissan, Mitsubishi and Royal Enfield that have already set up a plant near Chennai.
The upcoming plant will produce 3 lakh units per annum and will cater to both domestic as well as export needs. PSA is world’s six largest car manufacturer and the second biggest in Europe after Volkswagen.
“PSA has proposed to establish this Indian project as a 100 per cent subsidiary of the parent company. After evaluating sites in various states, PSA has selected a site near Sriperumbudur, in Tamil Nadu. The company would provide direct and indirect employment to 20,000 people at the facility, besides also attracting a large number of auto-component manufacturers from France,” the company said.
Also see – Peugeot Citroen’s entry into Indian markets