Jane Chen/ Shanghai Daily news
Sino-French automobile manufacturer Dongfeng Peugeot Citroen Automobile Co
Ltd (DPCA) has suspended mass production of its Xsara sedan series one year
after it was first introduced into China, today's Beijing Morning Post reported,
citing close sources to the company.
But DPCA will continue to receive orders
for Xsara and will continue to produce the sedans, the report said.
Industry
insiders blamed Xsara's poor performance for the decision to suspend production,
noting that in July, only 70 Xsara vehicles were sold nationwide, the lowest of
this year.
Xsara has seen its price plunge more than 20,000 yuan (US$2,418)
since its introduction in China last year. Its manual transmission version
sold for 169,800 yuan at its debut while the automatic was priced at 198,000
yuan.
Despite the price drop, sales have remained flat, reaching 507, the
peak of this year, in February and recording 114 in August.
An anonymous
salesperson with Beifang Auto Market in Beijing, as cited by the Beijing Morning
Post, said he had three Xsara sedans in stock that he had been unable to sell
for half a year.
"Even if the production of Xsara is suspended, I'm
sure you can easily buy this sedan on the auto market because of the large
number is stockpile," the salesperson added.
DPCA sold 52,064 vehicles under
the brand name of Dongfeng-Citroen in the first seven months this year, nearly
10,000 fewer than last year. The sales accounted for 3.7 percent of
China's total market.
DPCA produces Fukang, Elysee, Picasso and Xsara
series sedans.