New vehicle for growth

,

and

recently signed an agreement to develop and produce small, entry-level light commercial vehicles which are scheduled for rollout in 2008.

Total investment, including research and development and production start-up costs, is estimated at roughly €350 million.

The co-operative agreement has been made in response to anticipated changes in the entry-level segment of the European light commercial vehicle market. Consequently, PSA Peugeot Citroën, Fiat and Tofas will introduce a small vehicle concept to extend their current commercial vehicle range.

Tofas will be in charge of co-ordinating the development and production of the new vehicles at its plant in Bursa, Turkey. Tofas will produce 135,000 of the new vehicles annually, of which two-thirds will go to PSA Peugeot Citroën and one-third to Fiat.