PSA will manufacture a new model in Spain

PSA Vigo

Citroën C-Elysée on the assembly line of Vigo

Good news for the automotive sector in Spain and especially Galicia. The PSA Group has just announced the investment of no less than 700 million euros in the Iberian peninsula. That money will be invested from now until 2020, when the factory of Vigo, with 640 million euros will be the bulk, start making a new model in their facilities.

The remaining eur 40 million will be divided between the plant in Mangualde (Portugal) and madrid Villaverde, where it currently manufactures the Citroën C4 Cactus. Little is known of the new model PSA will manufacture in Spain, beyond that it could be a new compact SUV Peugeot. The arrival of this new model will reinforce the employment at the plant in Vigo, allowing manufacture around 500,000 units annually at least until the year 2026, when this new model would cease production.

Citroën C4 Picasso, unidad 12 millones fabricada en Vigo

Citroën C4 Picasso, unit 12 million manufactured in Vigo

Currently in Vigo are manufactured some of the models of greater success of the PSA Group. There is gives way to the Citroen C4 Picasso and C4 Grand Picasso, Peugeot Partner, Citroën Berlingo, Citroën C-Elysée and Peugeot 301, the latter is not marketed in Europe. Of the 8,000 people who work for the PSA Group in Spain, two-thirds belong to the template of Vigo.

Soon Vigo also will host the production of a new generation of vans, calls to replace the Citroën Berlingo and Peugeot Partner. The so-called project K9 will also have a model that will be sold under the Opel brand. At the same time, the Opel manufactured in Figueruelas monocab segment B to PSA as part of the agreement.

Source – Automotive News