Peugeot will build the 206 for several years after launching the 207 replacement next year, PSA/Peugeot-Citroen CEO Jean-Martin Folz told Automotive News Europe.

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“We might produce the 206 till 2010 or beyond,” Folz said. “It will depend on customer demand.”


Peugeot has sold more than 800,000 206s in each of the last four years, making the small car one of its most successful models.


At stake is the future of PSA’s UK plant in Ryton, which will assemble the 206 during its final years. There is concern in the UK that PSA might close the plant when it stops building the 206.


Carmakers often complain that production costs in the UK are higher than in eastern Europe or even Spain and that foreign exchange variations between the British pound and the euro make planning difficult.


“When the 206 [in Ryton] needs to be replaced, we shall see,” Folz said. “The subject is not on the agenda.”


The 206 version that Ryton is to build will be priced “somewhere between” the 107 entry-level mini Peugeot just unveiled in Geneva and the future 207, Folz said. The 107 entry-level version will start at about €8,500.


Peugeot has not determined 207 prices.

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