Peugeot exploring possibilities to manufacture cars at GMs Halol plant

Wednesday 18 April 2012, 11:58 AM by

The French car maker Peugeot Citroen, which is investing heavily in Gujarat to set-up its production facility in the state, is likely to manufacture its cars at the Halol based plant. It is to be mentioned here that American car maker GM has 7% equity share in the global market. As per the industry reports, Peugeot is exploring the option of involving GM in its Indian operations by rolling-out its cars out of GM’s Halol plant.

However, the company is yet to make any statement in this regard. As per a statement given by a company official to ET, the company is in talks with GM for a tie-up.

Speaking on the matter recently, a senior state government official said, "The Company has informed the state industries department that it is exploring a joint venture with GM, which operates its biggest India facility in Halol."

According to Mr. P Balendran, VP, GM India, "The GM and PSA Peugeot Citroen alliance is an important partnership for GM that will have a positive effect on our company worldwide, particularly in Europe. We expect it to have long-term benefits globally; however it's too soon to say how it will impact India and the Asia Pacific region."