Citroen officially announces India entry, Jeep Compass-challenger to be first SUV

PSA Group, which is one of the world’s largest manufacturers of the automobiles has officially announced its arrival in the Indian market. The French group will launch the Citroen brand in the Indian market in 2021 and their first vehicle is likely to be the Citroen Aircross C5, which will take on the likes of Jeep Compass. The group will make its entry in the Indian market under the Push to Pass strategic plan for the period 2019-2021 and the second phase of the plan, the first vehicle of the brand will be launched in the Indian market.

The plans to enter the Indian market was announced in 2017 when PSA announced its joint venture with the CK Birla Group for the Indian market. The French manufacturer has already started making engines and transmissions in its plant in Hosur, Tamil Nadu and as per the official statement, an official launch of the production of the engines and transmissions will take place before the arrival of the first car in the market.

Emmanuel Delay, Executive Vice President, Head of India-Pacific Region,

“This project means to be fully integrated in India with a comprehensive eco-system including local production of vehicles and powertrains, distribution of vehicles and services as well as procurements for the whole Group. Today’s milestone represents a significant step to meet customers’ expectation in India soon”, 

C.K. Birla, Chairman CK Birla Group of Companies,

“Announcement of Citroën brand for our Vehicle JV in India, soon after the inauguration of the Powertrain JV greenfield facility at Hosur in late 2018, is a major milestone for the long term partnership of PSA Groupe & CK Birla Group. It is truly an exciting brand for the Indian consumers seeking international eco-friendly products designed for & made in India with unique styling & comfort”, 

Citroen SUVs have been already caught testing in India. After the DS7 SUV was spied testing on the Indian roads, Citroen Aircross C5 was spotted in India. It is quite possible that Citroen is testing the future engine and transmission for the India-specific cars and these vehicles may not come to India at all. The Citroen Aircross C5 is priced at par with the Hyundai Tucson in the international markets. Citroen has not officially said anything about the launch of their first car in the Indian market but it is likely to be an SUV because of the growing popularity of the segment in the Indian market.

The Aircross C5 is expected to get many India-specific changes and a high amount of localisation to keep the cost aggressive for the market. It should also be noted that the PSA Group bought the rights to use the iconic “Ambassador” name in the Indian market in the future. It is expected to launch a hatchback or sedan in the coming times that will get to use the historic name in India.