Fleet News

Manufacturers extend van co-operation

FIAT Auto and PSA Peugeot Citroen executives have signed an agreement to jointly develop and manufacture a new range of light commercial vehicles.

The two companies have co-operated in the development and production of LCV's since 1978 but have decided to extend the partnership to 2017.

The initiative will see two new products launched in 2006, manufactured at Sevel plant in Val di Sangro, in Southern Italy, and at Sevel facility in Valenciennes, France.

The Italian plant will make replacement for the Fiat Ducato, Peugeot Boxer, and Citroen Jumper while the French plant will produce replacements for the Fiat Scudo, Peugeot Expert, Citroen Jumpy.

The two companies plan to invest a total of around €1.7 billion with the bulk going to the Italian plant where production is set to reach 260,000 units a year.

The Valenciennes facility is expected to produce up to 130,000 units per year.

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