Peugeot may re-start local assembly in Indonesia from 2011 in a production facility owned by affiliate PT Gaya Motor, a subsidiary of publicly listed PT Astra International, a local report said.

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PT Astra International CEO Constantinus Herlijoso said he expected to submit his company’s proposal for a production plan to the parent company by the year’s end.


“Hopefully, they will soon give confirmation, so that by the middle of next year we will have guidelines on what [our project] is going to be,” he told the Jakarta Post.


Peugeot began 206 assembly in 2003 but halted output just two years later due to the skyrocketing value of the euro which hiked prices and plunged overall sales from 2,000 units in one year, to just 85 last year.


Herlijoso said cars potentially best suited to Indonesia were the 207 and multipurpose vehicles (MPVs) like the Expert Tepee.


“[The parent company] still consider Indonesia a potential market because we had experience of selling more than 2,000 units in a year in 2001 and 2002,” he said.


“Therefore, through the manufacturing plan, hopefully our sales will bounce back at least to more than 200 units.”

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