PSA Peugeot Citroën put pressure on local Portuguese authorities. The French manufacturer should do so on January 15 on the occasion of the inauguration of its Mangualde factory (central Portugal), as Diario Economía learned this Thursday, citing anonymous sources. Questioned, PSA Peugeot Citroën firmly denies any closure plans. “The long term of the Mangualde site. We want the production of this factory”, we say in Paris. According to the newspaper, the French car manufacturer sent a letter to the city council, in which PSA warned that it would close the factory if it was not legal to increase production. The control of the French organization has made as a condition for its presence in Mangualde the expansion of the existing factory to produce a new car model, scheduled for 2009. However, the organization, the main employer in the region, is not yet has reached an agreement with homeowners on neighboring land. “If a concrete plan is not presented to PSA, in Paris, in the coming months (. . . ), the Mangualde production center will no longer be part of the strategic development plan of the PSA organization,” writes control. Array in a letter sent to the municipality of Mangualde, cited in the press. Given this conflict, the mayor of Mangualde, Antonio Soares Marques, admitted this morning to speculation, in statements to the Portuguese media, of expropriating the owners of the land in question. The Manuualde shopping center, created in 1964, employs around 1,400 people and represents almost 5,000 indirect jobs. The factory produced more than 53,000 sets of Citroën Berlingo and Peugeot Partner models last year, in addition to production at the Spanish plant in Vigo (western Spain). The news about the PSA factory comes a week after the closure of the Azambuja meeting plant, near Lisbon, belonging to General Motors (GM), which has led to the elimination of 1,200 jobs.
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