Dongfeng Peugeot to add 4 new models by 2010

Shanghai, January 8 (Gasgoo.com) Dongfeng Peugeot, PSA Peugeot Citroen's joint venture in China, will start production of four car models within the coming two years to boost market share in the world's fastest-growing auto market, Chinese media reported Thursday.

"Dongfeng Peugeot will launch four car models, including Peugeot 407, 607, and 207 hatchback in 2009 and 2010," said Tang Teng, vice general manager of the JV, the Jinghua newspaper.

The Peugeot 408, code-named W23 in the company, is the first Peugeot B-class model to be built in China. It has been revamped for the Chinese market and its production will start on Platform 3 at the joint venture's newly built second plant this year.

The 207 hatchback will be powered by 1.4 liter or 1.6 liter four cylinder engines and will feature the same appearance as European editions. A company source said sales of the current Peugeot 206 will be halted after the 207 hatchback is introduced.

Dongfeng Peugeot expects its sales in 2009 to grow 20-30% by relying on two new vehicle models, but it will be cautious about launching any new model in the first half of the year.

As the government's incentive measures will translate consumer confidence into action in the second half, Dongfeng Peugeot may adjust its new model output plan in late 2009.