GM, PSA discard large car project; agree to develop small engine
Automotive News
December 20, 2012
General Motors Co. and PSA/Peugeot-Citroen scrapped plans for a joint mid-size car program, narrowing the scope for vehicle sharing within their alliance while adding engine cooperation.
The automakers today said they had signed firm agreements to combine their future small car program as well as co-develop roomier minivans and two sizes of crossovers.
Plans to share future replacements for larger models such as the Citroen C5 and GM's Opel Insignia were shelved after the companies failed to reach a "convincing business case," a PSA spokesman said. But with binding agreements on three other vehicle programs and new plans to pool a future generation of small gasoline engines, "the alliance is taking form and moving up a gear," the spokesman said.
The shared three-cylinder engines, designed to comply with Euro 6 emissions standards entering force around 2019, will bring big savings for both partners, PSA said, without giving details.
The joint vehicle projects will be:
- A compact crossover for the Peugeot brand and a compact multipurpose vehicle for GM's Opel and Vauxhall marques
- A subcompact multipurpose vehicle for both PSA and Opel/Vauxhall
- An upgraded low-CO2 subcompact-segment platform that will underpin Opel/Vauxhall's and PSA's next generation of cars in Europe and other regions.
Since the alliance plan was announced in February, the partners have put aside joint plans to develop a small car for Latin America, a dual-clutch gearbox and now the tentative mid-sized car program.
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