PSA and Hafei begin study
PSA Peugeot Citroën and Chinese carmaker Hafei today signed a memorandum of understanding to start a feasibility study for a 50-50 joint venture.
The new venture will manufacture vehicles with a maximum occupancy of 10 passengers for the Chinese market. The vehicles will be produced at Hafei's plant in Shenzhen.
PSA Peugeot Citroën operates in China through Dongfeng Peugeot Citroën Automobiles (DPCA), a 50-50 marketing and manufacturing joint venture established in partnership with Dongfeng Motor.
DPCA sold 201,300 vehicles in 2006 and 87,100 vehicles in the first five months of 2007.
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