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PSA asks Toyota to increase production of cars in France to appease anti-monopoly officials

Peugeot

PSA Peugeot-Citroen has offered Japan's Toyota Motor to increase the production of vans at Sevelnord's Lieu Saint-Amant plant in northern France as part of an ongoing joint venture (JV). Such an initiative came from the PSA amid fears that the merger deal with the FCA (FIAT-Chrysler) could be blocked by the EU antimonopoly service.

Peugeot Expert, Citroen Jumpy and Toyota ProAce "single-root" vans are produced at this plant.

PSA submitted its proposal to the European Commission on Friday, according to Automotive News Europe. Three months ago, the European Union Competition Authority opened an investigation that a deal between PSA and FCA would harm competition in the small van market in 14 EU countries and the UK.

The meaning of the proposal of the French concern is simple: an increase in the production of Toyota at the plant will "dilute" PSA's share in the niche of light commercial vehicles and, therefore, exclude a possible violation of antitrust laws. And the fact that the Toyota ProAce is a copy of Peugeot and Citroen is no longer a concern for regulators.

PSA and Toyota have been co-producing at the Lieu Saint-Amant plant since 2012. It is curious that until that time FIAT was a partner of the French, with which the companies were also engaged in the production of commercial vehicles.

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