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It’s Final: Peugeot Not Returning to America

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When former PSA Groupe head Carlos Tavares opened discussions about re-introducing Peugeot in the United States in 2016, everybody seemed hopeful. After all, the brand is known for producing reliable cars with stylish looks and budget-friendly price tags. PSA Groupe held onto the idea when it went into merger negotiations with Fiat Chrysler.

Nearly five years after, it appears that Stellantis, the newly established brand following the merger of the two automakers, won’t be pushing through with the plan.

In a report published by Car and Driver, Tavares, now head of Stellantis, said the company will instead focus on reviving and further strengthening the Chrysler brand of automobiles.

peugeot logo on car grille
While American customers will have to settle for non-Peugeot cars in the coming years, it doesn’t mean the scenario will not change given how fast changes happen in the automotive industry.

While it’s a little disappointing for customers who are looking forward to get their hands on French cars, the decision makes sense from a business perspective. The Chrysler brand is already established in the US, with a fair amount of recognition from customers despite only having three models in its portfolio (the Pacifica and Voyager minivans as well as the 300 sedan). Boosting Chrysler would be more cost-effective for Stellantis instead of reintroducing Peugeot, which has not been in the American market for 30 years.

Still, it’s a tough blow for PSA North America’s Larry Dominique, who, as early as summer 2020, was positive that Peugeot will once again be sold in the US. In an interview last August, he even went on to say the company was particularly interested in the compact and midsize car segments.

Although it’s not happening now, it could still be possible for Stellanis to change its mind in the future, considering how fast changes happen in the automotive industry. So while American customers will have to settle for non-Peugeot cars in the coming years, it could still be a possibility in the future.

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