BUENOS AIRES, Argentina -- PSA/Peugeot-Citroen has postponed plans to export Citroen C4 sedans to Spain and eastern Europe from its plant here.
C4 sedan exports to Europe are being delayed because of the cars popularity in Brazil and Argentina, a PSA spokesman said.
Citroen has sold more than 10,000 C4 sedans in South American since starting production in April. The car is called the C4 Pallas in South America.
Vincent Rambaud, head of PSA's South American operations, said the Pallas is selling well because it is the first non-European PSA car adapted to meet the needs of car buyers in the Mercosur region.
The Mercosur trading bloc consists of Argentina, Brazil, Paraguay and Uruguay.
Car buyers in the countries prefer sedans to the hatchbacks favored in Europe.
"It is an example of how we will increase sales in Mercosur by developing new cars adapted to the local market," Rambaud told journalists.
PSAs PF2 platform underpins all versions of the C4. The three-box C4 sedan also is produced at the automakers plant in Wuhan. China. The C4 hatchback is made in Mulhouse, France.
The carmaker planned to begin exporting the C4 sedan from Argentina to Europe earlier this year. Exports were targeted at Spain and eastern Europe because sedans are popular in those markets.
A PSA official said C4 sedan exports to Europe likely would begin in the first half of next year when capacity at the company's Palomar plant in greater Buenos Aires is increased.
PSA plans to boost annual production capacity in Brazil and Argentina to 500,000 units by 2010, up from 300,000 now, to take advantage of strong growth in new-car sales in the two countries.
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