PSA Peugeot Citroën has announced it will expand engine production at its Trémery plant in north-eastern France due to increasing demand for the EB Turbo PureTech three-cylinder petrol engine.

The unit equips its core models, including the Peugeot 208, 308, 2008 and 3008, Citroën C3, C4, C4 Cactus, C3 Picasso and C4 Picasso, as well as the DS 3 and DS 4. The Trémery facility was preferred over the main competitor, the Vigo plant in Spain, as the French factory came out on top in a quality, cost and investment competitiveness survey undertaken in 2014.

“This 200,000 unit production module was assigned as a result of our more flexible manufacturing system and the work done at Trémery to meet competitiveness targets across the value chain,” said Yann Vincent, Executive Vice President, Director Supply Chain & Manufacturing.

The executive also said it made more financial sense to use the French plant’s existing engine production capacity and component supply logistics, despite lower Spanish wage costs. The Vigo plant currently builds only vehicles.

The Trémery plant has produced its 40 millionth engine in January 2015 and the Trémery-Metz industrial facility recently became the PSA Peugeot Citroën’s leading mechanical components plant, having produced 1,577,000 engines and 893,000 gearboxes in 2014.

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