PSA Peugeot Citroen has inked a deal with Agromash Holding for the assembly and distribution of the French automaker’s passenger cars and LCVs in Kazakhstan.
The deal will see assembly start in June this year, with a range of models, namely the 301, 3008, 508 and Partner vehicles.
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Production capacity will reach 4,000 units per year in the beginning, with a possible capacity of around 10,000 models envisaged.
The project is expected to provide employment for more than 300 people in France and 150 in Kazakhstan.
Along with locally-assembled models, Peugeot will provide the Kazakh market with the Peugeot 408 manufactured on the full-cycle Russian plant of PSA Peugeot Citroen in Kaluga.
“This project in Kazakhstan is an important milestone for PSA Peugeot Citroën business development in the region of [the] Commonwealth of Independent States, which is one [of] the priority zones for our group, along with Asia and Latin America,” said PSA Russia, Ukraine and CIS, managing director, Bernd Schantz.
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By GlobalData“It will contribute to our growing and diversified presence in the region, with a larger manufacturing base dedicated to our local subsidiaries-driven operations in Russia and Ukraine and to our importers-based sales in Azerbaijan, Belarus and Moldova.”
The deal was signed at the annual France- Kazakhstan Joint Committee meeting held in Paris yesterday (7 March).
