PSA, BMW Collaboration Grows

PSA Peugeot Citroen and BMW AG will add production of a 1.4L gasoline engine to their small-car powerplant collaboration.

The two auto makers linked up in December 2004 to produce 1.6L gasoline engines for use in the Peugeot 207 and BMW Mini.

The new 1.4L engine will be produced at PSA’s Douvrin, France, plant, bringing total output of the joint 4-cyls. there to 1 million units per year. The engines will be supplied to PSA’s Douvrin assembly plant and BMW’s Hams Hall Mini facility in the U.K.

Of the total production, about 40% will be allocated to the 1.4L, 40% to the 1.6L and 20% to a direct-injection version of the 1.4L, Reuters says.