PARIS -- PSA/Peugeot-Citroen will keep the launch schedule for its new Russian plant despite its partner Mitsubishi announcing that it will delay building cars there.
The factory will start production during the first half of 2010, a PSA spokesman said.
Mitsubishi announced Feb. 4 that the economic slowdown forced it to scale back planned production of a mid-sized SUV at the Kaluga factory, about 180km southwest of Moscow.
"Mitsubishi is talking about a maximum five-month delay for the start of production of its SUVs," the PSA spokesman said. "It does not change anything for us. We will still produce as planned in Russia."
PSA will own 70 percent of the 470 million-euro factory with Mitsubishi taking the remaining 30 percent. Constructions started in May 2008.
The factory will build 110,000 mid-sized cars for Peugeot and Citroen and 50,000 medium-sized SUVs for all three brands.
Under the joint venture, Mitsubishi is responsible for SUV production while PSA will handle production of medium-sized cars.
Sources say PSA will likely build the Peugeot 308 and Citroen C4 lower-medium cars in Kaluga.
The first Peugeot and Citroen cars built in the factory are expected to go on sale in 2011.