Peugeot Citroen, the France based leading car maker, is all set to mark its debut in the Indian market very soon. The company has decided to invest Rs 4,000 crore to establish a plant near Chennai.
With this new investment in the state, Tamil Nadu has got a major boost in its status of being country’s biggest auto hub. In recent years, TN has witnessed entry of a number of leading car makers around the world including the likes of Renault-Nissan, BMW, Hyundai and Ford. The state accounts for the production of as many as 1.58 million cars a year.
The new Peugeot plant will be established in the Sriperumbudur region, near the State Capital, while the state government said in a release issued on Wednesday that the new plant would have a manufacturing capacity of 300,000 cars. It added that PSA has requested the Tamil Nadu chief minister for a package of support including land.
Earlier, Peugeot had entered into the Indian market in year 1990, in partnership with Mumbai based Premier Automobiles group. But the company exited after moderate performance of its model 309, coupled with workers' agitation in the state of Maharashtra.
