Updated
Peugeot Plans 90,000-Car Plant in Morocco in Africa Growth Push | Bloomberg
French automaker PSA Peugeot Citroen plans to follow Renault’s footsteps by setting up automotive production in Morocco:
PSA Peugeot Citroen, which is striving to reduce reliance on Europe by boosting car sales in emerging markets, plans its first direct investment in Africa with an assembly plant in Morocco.
The new factory will be located near the city of Kenitra, 47 kilometers (30 miles) north of the capital, Rabat, under an agreement to be signed Friday, Jean-Pierre Mercier, leader of France’s CGT labor union, said by phone. The plant will start with capacity to build 90,000 vehicles a year and possible eventual expansion to 200,000 autos.
The Kenitra project is Paris-based Peugeot’s first manufacturing investment under the watch of Chief Executive Officer Carlos Tavares’s watch and confirms his intentions to leverage the benefits of a reorganization last year that included a stake sale to Chinese manufacturer Dongfeng Motor Corp. and the disposal of the French company’s auto-loan unit…[full story]