PSA Peugeot Citroen will consolidate both brands under one independent Australian distributor early next year, according to a local media report.

The Citroen importer since 1994, Ateco Automotive, confirmed to GoAutoNews that its distribution arrangement would cease at the end of this year as a result of a global restructuring of PSA operations.

GoAuto said it understood that Peugeot importer Sime Darby was set to add Citroen to its portfolio, which also includes SsangYong.

A formal announcement is expected directly from PSA in France and Sime Darby declined to confirm the switch.

GoAuto noted that Ateco also recently sold the distribution rights for Fiat and Alfa Romeo, which were transferred to factory-owned Fiat Chrysler Group Australia under a similar consolidation move.

Ateco has a long history of introducing and developing brands in Australia which later become 'factory shop' (automaker owned) distributors.

It retains Ferrari, Maserati, Chery, Great Wall and Lotus, as well as a major four wheel drive equipment business, Ateco Equipment.

Ateco told GoAuto it was always on the lookout for new brands to import, having also handled Volkswagen, Audi, Suzuki and Kia before the factories took them over.

PSA is merging UK Citroen and Peugeot operations into a single unit at Peugeot HQ near Coventry, closing the long-serving Citroen facility in Slough, west of London, which once included an assembly plant.