Peugeot has announced that it has been witnessing massive losses in the European auto market and the sales have fallen significantly in its domestic market. The carmaker is reported to have closed down one of its manufacturing units in Europe due to the compound effect of low sales and rising labor costs.
The French automobile manufacturer has rescheduled its plans for the Indian auto market in response to the losses incurred in Europe. This includes postponing the setting up of its new manufacturing plant at Sanand, Gujarat. All investments in that respect have been pushed back to address financial troubles in its domestic market.
Until now, the company was expected to announce new car product launches by the end of December 2012 after which its dealership network in India would have been established followed by the opening of bookings for the new car models.
