PSA expects to make eight percent of its global sales in MERCOSUR countries and Chile since by 2004, writes Rogério Louro Alves.

Last year, the group sold 83,000 vehicles in the region, 4.5 percent of its worldwise sales.

The company is maintaining its forecast despite the economic crisis in Argentina where PSA#;s vehicle plant in Buenos Aires was closed from January until last week.

“We believe that Argentina will pass through this crisis and now we can support Buenos Aires production with sales to others markets in the region,” said Jean-Martin Folz, PSA Group president, in Brazil to open a new engine plant.

PSA has specific strategies for the Brazilian and Argentine plants.

“We think of Mercosur and Chile as the same unique market and the local plants will work together to complement the range of models. In Brazil the company will centralise production of models on our platform 1 and in Argentina models on platform 2”, Folz said.