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Report: PSA, Ford Will Extend Diesel Supply Deal
Ford Motor Co. and PSA Peugeot Citroen are poised to extend a 17-year-old supply agreement under which Ford buys 4-cylinder diesel engines from the French company, sources tell Les Echos.
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Ford Motor Co. and PSA Peugeot Citroen are poised to extend a 17-year-old supply agreement under which Ford buys 4-cylinder diesel engines from the French company, sources tell Les Echos.
The French newspaper says the deal will cover the new DV-R family of diesels PSA will introduce in 2017-2018. The cleaner powerplants will replace PSA's current 1.4- and 1.6-liter diesels.
PSA's plant in Douvrin will begin supplying the next-generation engines to Ford in 2017, sources tell Les Echos. They say the company's Tremery factory will begin doing the same in 2018. Each facility will have annual capacity to make 640,000 engines for use by both companies. The newspaper says engines earmarked for Ford will be assembled in the U.K.
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