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Peugeot in Talks With ZIL

French carmaker PSA Peugeot Citroen said it was in talks on sharing vehicle production with Russia's ZIL. "ZIL is part of a specific discussion we're having about light commercial vehicles in Russia," Peugeot spokesman Jean-Baptiste Thomas said Saturday. "It's just one discussion among many others, and nothing's decided or concluded yet."

Thomas declined further comment. He was speaking after Vedomosti reported that ZIL, a nearly century-old automaker once named after Stalin, may build light commercial vehicles under contract for Peugeot, citing a Russian auto industry source. The report also cited a source at a ZIL affiliate in Moscow as saying ZIL was hoping to sign contracts with several firms, which the source did not name, by the end of the month.

(Reuters)

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