PSA investing $113 million in its Rennes plant.

Citroen has announced it will produce its next SUV in its plant in Rennes, France, starting in 2018. Until now it was believed the crossover will be manufactured outside Europe, but the final decision was made possible “by the stakeholders’ commitment to work together to secure the plant’s future.”

The new SUV will be part of the so-called Push to Pass plan of PSA, which includes 34 new models in the next few years. Based on the EMP2 platform, the vehicle will be assembled alongside the Peugeot 5008 and the Citroen E-Mehari, totaling the annual production at the plant at 100,000 vehicles. To achieve its plan, PSA will invest no less than $113 million (€100 million) to upgrade the factory with several “ground-breaking solutions,” bringing a “modern, agile manufacturing processes.”

Citroen’s new SUV will be highly influenced by the Aircross concept and will serve as a replacement for the slow-selling C4 Aircross. The French manufacturer sold 4,832 units of the rebadged Mitsubishi ASX in the first five months of this year, according to JATO Dynamics.

The same EMP2 architecture will also be used for a base of several brand new eco-friendly vehicles starting in 2019. Plug-in hybrid crossovers and SUVs are on the agenda, offering a “high-performance electric four-wheel drive” system and an electric-only range of 37.2 miles.

Source: Citroen via Automotive News

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