The PSA group of France, makers of Peugeot and Citroen branded cars had announced sometime ago that it was re-entering India on its own power a little more than 10 years after it first came into India in collaboration with Premier Automobiles Limited and brought the competent 309 car. The car was good but the alliance wasn’t and Peugeot left India after prolonged troubles in the PAL plant at Kalyan in Mumbai. Now Peugeot is coming back and has decided to make Gujarat its home and has broken ground for its new factory at Sanand. Premier Automobiles’ other pal, Fiat also burnt its fingers in India and in spite of having technically sound products, their sales have been undergoing a free fall. This October, Fiat sold a meagre 622 cars that too in the festive season. We hope the fortunes of both Fiat and Peugeot improve and that they are not still burdened by their failed JVs with the PAL.
