Azernews.Az

PSA Peugeot Citroen and Kazakh Agromash Holding have signed an agreement for the assembly and distribution of Peugeot passenger cars and LCV in Kazakhstan, the company reported.

"According to the agreement, assembly of the Peugeot passenger cars will start in June
2013 with a large range of models (301, 3008, 508 and Partner)," the company said.

The agreement was signed during the annual France-Kazakhstan Joint Committee meeting held in Paris on March 7.

The production capacity will reach 4 000 units per year at the beginning. In the future,
the sales may hit 10 000 units per year and more.

The project is expected to provide employment for over 300 people in France and 150 in
Kazakhstan.

Along with locally assembled models, Peugeot will offer to the Kazakh market the
Peugeot 408 manufactured on the full-cycle Russian plant of PSA Peugeot Citroen in
Kaluga.

"This project in Kazakhstan is an important milestone for PSA Peugeot
Citroen business development in the region of Commonwealth of Independent States... It will contribute to our growing and diversified presence in the region, with a larger
manufacturing base dedicated to our local subsidiaries - driven operations in Russia and
Ukraine and to our importers - based sales in Azerbaijan, Belarus and Moldova," Peugeot Citroen Managing Director for Russia, Ukraine and CIS Bernd Schantz said.

PSA Peugeot Citroen is the second largest carmaker in Europe. In 2012, the company sold 2.9 million vehicles worldwide and got €55.4 billion revenue.