Peugeot and Birla Group had inaugurated of their engine and transmission unit manufacturing plant yesterday on 22nd November, 2018. The PSA Group, the parent company of Peugeot Citroen and Birla Group had entered into the joint venture back in the year 2018. The engine and transmission unit manufacturing plant is located at Tamil Nadu, India. The manufacturing plant has the capacity to engineer 2 lakh BSVI complaint engines per year and 3 lakh transmission units per year. Not only the plant will supply the engine and gearbox to our country but also will export to the auto markets of abroad.

The plant is owned by PSA AVTEC Powertrain Pvt. Ltd., a 50:50 joint venture created in 2017 between Groupe PSA, France and AVTEC. It benefits from Groupe PSA latest technology and the CK Birla Group’s engineering and manufacturing excellence.The engine and transmission unit manufacturing plant formed by the joint venture of Peugeot and Birla Group required an investment of Rs 600 crores and the plant provides employment to nearly 800 people. The Groupe PSA cars will be employed with the engine and the transmission engine developed in their facility. The upcoming models from the Groupe PSA which will be launched in our country will also use the engines and transmission units from their manufacturing plant. The new generation Ambassador sedan is likely to be launched in our country by Peugeot. However, the timeline for the launch is not yet set up by the automaker.

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Peugeot And Birla Group Set Up Their First Powertrain Plant
Peugeot And Birla Group Set Up Their First Powertrain Plant

Mr. Carlos Tavares, Chairman of the Managing Board Groupe PSA said, “We want to be Indian in India. With this inauguration, we have taken another critical step towards the execution of our Push to Pass strategic plan and commitment towards the Indian customers. The quality of the relation with our partner, the CK Birla Group, is paramount to the success of our common project, with the creation of a complete eco-system in India.”

Commenting on the development, Mr. CK Birla, Chairman, the CK Birla Group said, “We have always striven to evolve with the ever-changing needs of our customers and partners. This partnership that brings together latest technology from Groupe PSA and the manufacturing excellence of the CK Birla Group is a step in the same direction. We are confident that this new plant will create long-term value and fulfill future market needs better.”

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