Peugeot Citroen, the France based automobile manufacturer which was confused as in where to set up their facility has finalised its first plant will be located in Tamil Nadu. The company has decided to invest Rs 4,000 crore in the facility and joins the list of automobile manufacturers like BMW, Hyundai, Ford and Renault-Nissan that have already set up a plant near Chennai.
The location decided for the facility at Tamil Nadu is Sriperumbudur and is expected to produce three lakh cars per annum, also the company has proposed to establish this Indian project as a 100 per cent subsidiary of the parent company. The investment, as a whole will also provide employment to 20,000 people and also attracting a large number of auto component makers from France.
A high level delegation from PSA, including PSA Peugeot Citroen CEO China (Asian Operations) Gregoire Olivier and Peugeot Citroen India Managing Director Frederic Fabre, Senior Managing Director Jitesh Gadhia and Tamil Nadu Industries Minister S P Velumani called on Chief Minister J Jayalalithaa at the Secretariat. The Tamil Nadu CM assured the company government support and thanked them for choosing Tamil Nadu as the state for setting up their plant.
It will be very interesting to see how Peugeot Citroen break in the Indian market scene and what kind of products do they offer to buyers at what pricing.