Reporting "Asre Khodro", PSA’s global sales volume rose to ۳.۱۴۶ million vehicles in ۲۰۱۶ from ۲.۹۷۲ million the previous year, the Paris-based company said in a statement on January ۱۱, Reuters reports.
The ۲۰۱۶ sales growth represents PSA’s best yearly performance since ۲۰۱۰, making it cross the ۳ million-vehicle threshold for the first time since ۲۰۱۱.
Sales rose ۳.۵۶% in Europe and surged ۱۱۲.۸% in the Middle East and Africa region, as the Peugeot brand benefited from the lifting of international sanctions on Iran.
Sales dropped by ۱۵.۹۸% in China and Southeast Asia and by ۱۲.۵۸% in Eurasia, which comprises Russia.
Peugeot’s Q۱ ۲۰۱۷ profits are likely to grow further as the company continues its growth in the Iranian market.
In August ۲۰۱۶, PSA signed a deal to start production of Citroen branded vehicles in the local market.
SAIPA Deal
SAIPA’s deal with Citroen, its historic partner since ۱۹۶۶, which named SAIPA from a French synonym Société Anonyme Iranienne de Production Automobile will kick start production in early ۲۰۱۸.
As part of the deal, SAIPA will overhaul its production facility and invest $۳۰۰ million in development projects. It has also been announced that the group will stop the production of Tiba ۲ and Pride models.
Citroen models will be sold throughout the country via a network dedicated exclusively to the brand.
The first of three planned new Citroen models will be launched in Iran in ۲۰۱۸.
The ۵۰/۵۰ joint venture lays the foundation for a strategic partnership between the two companies. It will cover the entire value chain, from the design stage right through to vehicle marketing.
Manufacturing will take place at the Kashan plant in Iran, which will be ۵۰%-owned by PSA Group.
Peugeot-IKCO Deal
Meanwhile, Iran Khodro, SAIPA’s main rival in the local market signed a deal with PSA Group in June ۲۰۱۶.
The ۵۰/۵۰ joint venture is expected to bring in €۴۰۰ million over the next five years in manufacturing and R&D capacity.
The investment will contribute to the development of a competitive manufacturing base for producing, launching and marketing Peugeot ۲۰۸, ۲۰۰۸ and ۳۰۱ models, fitted with the latest-generation engines.
According to IKCO officials, ۱۰۰,۰۰۰ cars will be manufactured in the first phase and ۲۰۰,۰۰۰ in the second over the next couple of years.
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