News of February 20, 2002
Fiat and PSA Peugeot CitroŽn Extend Light Commercial Vehicle Cooperation through 2017
Paris/Turin - Giancarlo Boschetti, Chief Executive Officer of Fiat Auto, and Jean-Martin Folz, Chairman of PSA Peugeot CitroŽn, have signed a framework agreement to extend their two companies' industrial cooperation in light commercial vehicles through 2017. Fiat and PSA Peugeot Citroen have developed and produced light commercial vehicles together since 1978.
The agreement sets out the procedures for developing and engineering future models, as well as the venture's financial and industrial objectives.
In this new phase, the companies plan to invest around EUR 1.7 billion to manufacture two lines of light commercial vehicles to be rolled out after 2005. The vehicles will be produced at the Sevelsud plant in Val de Sangro, Italy and the Sevelnord plant in Valenciennes, France.
Pursuing their cooperation will enable both partners to continue sharing design and investment costs, thereby achieving significant economies of scale. It is also expected to support the two companies' sustained success in the light commercial vehicle market. Since the venture began in 1978, 3.5 million light commercial vehicles have been produced at the two assembly plants in Italy and France.
With this latest agreement, Fiat and PSA Peugeot CitroŽn will be able to offer their customers the benefits of the extensive feedback they now have in the joint development of light commercial vehicles.
(February 18, 2002)