Peugeot is pushing ahead with growth plans in Chin and Asia, the new 4008 SUV is the start of 1 Million units per year by 2018.

• A plant opened as part of the Push to Pass strategy for profitable growth, which will see 20 new launches in China and Southeast Asia by 2021
• A plant dedicated to the production of SUVs, a fast-growing segment in China
• Capacity to build 300,000 vehicles a year, in line with the target of selling one million vehicles in China and Southeast Asia in 2018
• The Peugeot 4008 will be the first vehicle produced

As part of the implementation of the Push to Pass plan and to support the China & Southeast Asia region's goal of selling one million vehicles in 2018, DPCA today inaugurated its fourth assembly plant in Chengdu, China.

The ceremony was attended by Carlos Tavares, Chairman of the Managing Board of the PSA Group; Zhu Yanfeng, Chairman of the Board of Directors of Dongfeng Motor Corporation; Denis Martin, the PSA Group's Executive Vice-President, China and ASEAN; Liu Weidong, Chief Operating Officer of Dongfeng Motor Corporation; Su Weibin, General Manager of DPCA; Jean Christophe Marchal, Executive Vice-President of DPCA and representatives of Sichuan province and the municipality of Chengdu.

The fourth DPCA plant will manufacture vehicles for the Dongfeng Peugeot, Dongfeng Citroën and Dongfeng Fengshen brands on the PSA Group's EMP2 platform, primarily in the SUV segment. Production will begin with the new Peugeot 4008 SUV, which is scheduled for launch in November 2016. Following a gain of 53% in 2015, the SUV segment continued to expand rapidly in first-half 2016, with 44% growth. It currently accounts for 38.8% of the Chinese market. As a whole, the Chinese auto market offers great potential. Car ownership stands at 75 vehicles per 1,000 inhabitants, and the country recently overtook the United States to become home to the world's largest middle class, which represented 110 million people at end-2015. This figure is forecast to double to 220 million by 2022.

Leveraging the best practices of PSA and Dongfeng Motor (DFM), DPCA built the plant in two years according to the highest industry standards. The world-class facility uses a flexible manufacturing system that enables close cooperation with suppliers, while adhering to the most stringent environmental principles.

In addition to the CAPSA plant in Shenzen, which manufactures DS models, DPCA's production base now comprises four assembly plants: three in Wuhan, in Hubei province, and one in Chengdu, in Sichuan province. With this new facility and DPCA's latest 5A+ medium-term plan unveiled on 11 May, the PSA Group and DFM have demonstrated their commitment to strengthening their strategic partnership in order to satisfy the needs of the Chinese market. The two partners are pursuing three clear-cut objectives for improving the joint venture's financial performance:

• Significantly increasing customer satisfaction with products and services to become one of the top three in the industry by 2018 and No. 1 by 2020
• Generating revenue in excess of RMB 100 billion by 2020
• Achieving profitable, sustainable growth underpinned by productivity gains of 30% by 2020

During the ceremony, Carlos Tavares said: "This new plant will help us to expand our vehicle range in the fast-growing SUV segment and meet the needs of our Chinese customers. It represents an important step in implementing our Push to Pass plan and achieving our objective to launch 20 new models in China by 2021 and sell over one million vehicles in the region by 2018."

PSA Groupe and Dongfeng, strengthen their ties to make the company stronger, healthier and more profitable.

A new milestone in the strategic partnership between PSA Group and DFM was reached at the presentation of the new "5A+" medium-term plan for Dongfeng Peugeot Citroën Automobile (DPCA)

At the presentation of the DPCA strategic plan on Wednesday, 11 May, Carlos Tavares and Zhu Yanfeng, the respective chairmen of DPCA's two company shareholders, signed an agreement to design an electric version of the Common Modular Platform (CMP), which they have been developing jointly since April 2015.

This future electric platform (e-CMP) will deliver a worldwide offering of all-electric, high-performance B and C segment vehicles for the Peugeot, Citroën, DS and Dongfeng brands from 2019.

PSA Group and DFM also signed a framework Human Resources agreement designed to increase synergies to develop talent internationally.

In practical terms, the agreement will provide for temporary employee exchanges between operational teams in the fields of Research & Development, Marketing, Manufacturing, Finance and Human Resources. Best practices will also be shared in each area of HR to identify potential areas of cooperation.

For PSA Group, the agreement goes hand in hand with its Push to Pass strategic plan and serves to address a number of human resources challenges.

At the ceremony, Carlos Tavares, Chairman of PSA Group's Managing Board, emphasised the effectiveness of the collaboration between the PSA and DFM teams and the importance of building on its synergies through talent sharing. He said: "The future e-CMP platform is a key milestone in our partnership with Dongfeng. It will speed up the worldwide development of both of our groups, while helping us to reach the strict carbon objective set for 2020”.

The new “5A+” medium-term strategic plan is designed to make DPCA "an efficient car manufacturer, capable of providing its customers with comprehensive mobility solutions."

The plan has three strategic focuses:

• To significantly increase customer satisfaction with products and services, with the aim of moving into the top 3 ranking in the industry by 2018 and becoming No.1 in 2020.
• Generate revenue in excess of RMB 100 billion by 2020.
• To ensure profitable, sustainable growth underpinned by productivity gains of 30% by 2020.

Peugeot to build fourth plant in China to boost output beyond one million per annum.

DPCA laid the cornerstone for its fourth plant in Chengdu, China today to support its sales growth in China.

Attending the ceremony alongside Carlos Tavares, Chairman of the Managing Board of PSA Peugeot Citroën, and Xu Ping, Chairman of Dongfeng Motors, were Grégoire Olivier, Executive Vice President Asia of PSA Peugeot Citroën, Liu Wei Dong, Deputy General Manager of Dongfeng Motors, Jean Mouro, Executive Vice President of DPCA, Qiu Xian Dong, General Manager of DPCA and representatives of Sichuan province and the city of Chengdu.

With total capacity of 360,000 vehicles a year at full ramp-up, DPCA’s fourth plant will build Dongfeng Citroën, Dongfeng Peugeot and Dongfeng Fengshen-badged vehicles, primarily for the SUV and MPV segments. The first car is scheduled to roll off the line in late 2016.

DPCA’s current production base comprises three plants in Wuhan,which are running on two shifts for total potential capacity of 750,000 units a year. With the fourth plant, production capacity will be lifted to more than one million units a year in 2016. This is a major step towards meeting the Back in the Race plan’s objective of selling one million Peugeot and Citroën vehicles in China in 2017.

Last 28 March, Dongfeng and PSA Peugeot Citroën signed a global strategic partnership with the objective of selling 1.5 million vehicles by 2020.

In the first nine months of 2014, DPCA sold 518,000 vehicles in China, an increase of 30% in a market up 11%. DPCA’s full-year objective is to sell more than 700,000 vehicles in China.

Commenting on the ceremony, Carlos Tavares declared:“Construction of the Chengdu plant is a key step in PSA’s development in China, which is the Group’s largest market. This plant will allow DPCA to keep pace with its fantastic sales growth.Our joint venture is expected to sell more than 700,000 vehicles in 2014.”

PSA and Dongfeng sign agreement to build fourth chinese plant.

• A fourth production plant based in Chengdu, Sichuan Province
• Capacity to build 300,000 vehicles a year eventually
• Dedicated to the production of SUVs and MPVs
• Production start-up in 2016

To support the strong growth in its unit sales, DPCA signed on 2^nd July an agreement with the city of Chengdu for the construction of its fourth production facility in China.Work will get underway in the second half of the year, with the first car scheduled to roll off the new assembly lines in late 2016.

With total capacity eventually reaching 300,000 vehicles a year, DPCA’s fourth plant will build Dongfeng Citroën and Dongfeng Peugeot and Fengshen- badged SUVs and MPVs.

DPCA’s current production base comprises three plants in Wuhan,which are running on two shifts for a total potential capacity of 750,000 units a year. With the fourth plant, production capacity will be lifted to one million units a year in 2016.

The company’s full-year objective for 2014 is to sell more than 650,000 vehicles in China.

Last 28 March, Dongfeng and PSA Peugeot Citroën signed a global strategic partnership with the objective of selling 1.5 million vehicles by 2020.