BUSINESS OPPORTUNITY WITH PSA PEUGEOT CITROEN

Mr. John Lee, Executive Director for Implementation, recently participated in Auto Mechanika in Frankfurt, Germany. He met Mr. Stephane Benoit, Charge d'Affaires, International Purchasing Network of PSA Peugeot Citroen and talked to him about the positive things in the Philippines and the possibility of having MVPMAP members as suppliers.

PSA Peugeot Citroen is the second largest car manufacturer in Europe in 2005 with 14.3% market share. The company has 31.6% market share in France's automotive industry in the same year. Several assembly plants of Peugeot Citroen are found in all continents but there is only one in Asia which is located in Wuhan, China, in partnership with Dong Feng.

Objectives

• Reach 8 billion euros purchase of spare parts (original parts and spare parts) by 2010
• At present, 72% of the purchase of the company is on automotive parts and spare parts, 95% of which is done in Wetern Europe

Requirements of PSA Peugeot Citroen

• 20 million euros annual turn-over
• More than 300 employees
• Capable to carry-out mass production
• Can export even outside of the ASEAN
• Company belongs to the automotive industry
• Certified ISO TS 16949 (or at least in the process of being certified)