Construction work for Changan PSA’s new research and development center has already begun. The 500 million yuan ($79.56m) R&D center is expected to begin operation in 2014.
The new R&D center will possess testing labs, vehicle testing facilities, proving grounds and offices. It will play a leading role in facilitating the development of the joint venture’s Citroën DS models and EP model engines in China.
Changan PSA will begin manufacturing Citroën DS vehicles at its new automobile factory in Shenzhen, Guangdong next year. The DS5 (pictured) will be the first model to be domestically produced, JV Vice President Cai Jianjun mentioned in a recent interview. Two new models, including a brand new SUV, will be introduced in 2014.
As one of the most recent JVs to be established in China, Changan PSA has devoted a considerable amount of resources to brand promotion and development. According to a recent announcement Changan internally sold its 50 percent stock in the JV, which is anticipated to begin turning a profit in 2015.