FCA and PSA extend their JV till 2023

FCA of Italy and Groupe PSA of France have signed an agreement to extend until 2023 their successful LCV cooperation that had begun 40 years ago.

The terms of this new agreement also include continued manufacture by the JV of Fiat Ducato, Peugeot Boxer and Citroën Jumper large vans as well as additional versions to cover the needs of Opel and Vauxhall brands.

In order to meet the expected increase in demand for FCA and Groupe PSA, both partners have decided to increase production capacity at Sevel from 2019 with potential additional shifts.

The agreement also foresees the complementary use of Groupe PSA manufacturing capacity to assemble certain versions of the large vans for the Peugeot, Citroen, Opel and Vauxhall brands in the medium-term.

The Sevel plant, inaugurated in 1981 in Val di Sangro (Atessa Italy), has a surface area of more than 1.2 million square meters and employs around 6,200 employees. It is the biggest and most flexible light commercial vehicle plant in Europe capable of producing vehicles in a large array of different configurations. Sevel is also one of the most advanced LCV plants in the world in terms of level of specialisation, organisation and work performance.

The plant also houses an on-site Academy, a center of excellence where employees have the opportunity to receive training and improve their skills, as well as to undertake simulations and create innovation.