French automaker PSA confirms plans to re-enter US market

Istanbul, July 20 (DHA) - Additional tariffs on imported cars threatened by President Donald Trump could affect PSA Group’s plans to return to the U.S. market.
The French company has a goal of returning to the country by 2026 and is initially doing so with a car-sharing service before putting its vehicle on the market. However, tariffs of up to 25 per cent could force a re-think, PSA North America President Larry Dominique said.
“Tariffs are on our minds. Tariffs impact how fast and at what price point we import vehicles into the U.S. I’m crossing my fingers” he said during a presentation to the Automotive Press Association in Detroit.
According to Dominique, PSA has already started engineering its future models to comply with safety and emissions standards in the United States. However, it has yet to decide whether it will return to U.S. shores with Peugeot, Citroen or DS.
It is possible that PSA will only be able to justify selling high-priced models in the United States if tariffs become a reality.
Whatever happens, the French company remains confident in its chances of proving successful in Canada. Not only does part of the country speak French but a free-trade deal was secured between Canada and the European Union last year.
“We think we’ll have success in Quebec” Dominique said.
Trump recently ordered the Department of Commerce to investigate the impact of imported cars as a threat to national security. Word of these potential tariffs has upset a plethora of car manufacturers, including BMW.