DPCA to build fourth plant by 2016

Dongfeng Peugeot Citroën Automobiles (DPCA) is to build its fourth production facility in China with start-up due in late 2016.

DPCA signed its agreement on 2 July with the city of Chengdu for the construction of the facility. The company has made the decision for a fourth plant on the basis of its strong market growth.

Work on the plant begins in the second half of the year, with the first car scheduled to roll off the new assembly lines in late 2016.

With total capacity eventually reaching 300,000 vehicles a year, the plant will build Dongfeng Citroën and Dongfeng Peugeot and Fengshen- badged SUVs and MPVs.

DPCA's current production base comprises three plants in Wuhan. These are running on two shifts at a total potential capacity of 750,000 units a year. With the fourth plant, production capacity will be lifted to one million units a year in 2016.

The company's full-year objective for 2014 is to sell over 650,000 vehicles in China.

On 28 March last, Dongfeng and PSA Peugeot Citroën signed a global strategic partnership with the aim of selling 1.5 million vehicles by 2020.