PSA Peugeot-Citroën and General Motors are reviewing plans to develop a new joint platform for B segment models, PSA said today as it announced its third quarter results.

PSA – in talks with China’s Dongfeng to take a stake in the company – also said it is reviewing “the relevant terms of the development agreement” with GM which took a 7% stake in PSA early last year.

But the companies are continuing with plans to manufacture the two groups' B-MPVs at GM’s plant in Zaragoza, Spain, on a PSA platform which will go on sale in late 2016. Projects are also under way for the development of C-MPVs and cross-overs, said PSA, while the joint purchasing organisation has its first results with savings of around EUR60m (US$82.6m) this year.

“The alliance is going on as scheduled,” Peugeot spokesman Jean-Baptiste Thomas told reporters in Paris. “We have other projects under review. Some projects are not economically feasible, which is why they are dropped, but we’re taking the projects one by one and examining their economic feasibility first.”

In its third quarter statement, PSA said that group revenues were EUR12.1bn, down 3.7% compared with the same period last year. Automotive division revenues declined 5.8% to EUR8bn from EUR8.5bn. Worldwide sales of vehicles totalled 610,400 units, down 2.4% and 2,070,500 units in the first nine months, down 1.5% compared with the same period in 2012. The company said that this reflects volumes contractions in Europe, Brazil and Russia, partially offset by strong growth of volumes in China, Argentina and the Mediterranean basin.

The company noted that sales outside Europe now accounted for 42% of the total up from 36% in 2012.

PSA presented its final ‘new social contract’ to unions today (23 October, 2013). Restructuring plans include the loss of 8,000 jobs and the closure of the Aulnay plant near Paris. Four unions have indicated that they will accept the new terms.

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