French automotive company Citroen has announced its exit from the Australian market after 100 years of operating history due to its poor sales records in the past few years. Despite holding the record of being the oldest active automotive company in the Down South, Citroen just sold 87 units in the first half of 2024.
The sales record of Citroen dipped to a great extent such that Ferrari had sold more units than the French automaker- 138 units. Besides that, Aston Martin (96 units), Bentley (123 units) and Lamborghini (161 units) have recorded more sales than Citroen in the Australian market.
Despite owning local production units and having a robust growth trajectory in Australia since its inception in 1923, Citroen has been unable to maintain profit margins lately. The company has announced that dealerships in Australia will stop selling vehicles post November 1st, 2024. However, Citroen will continue to offer repair and maintenance and honour the warranty periods quoted to customers during the purchase.
Citroen is currently maintaining 35 service stations across Australia and will continue to offer after sales service. There are only 9 Citroen resellers currently active throughout Australia and will be active till November 1st, 2024. Vehicles on sale from Citroen in Australia are previous generation C3, C4, C5 Aircross and lastly, C5X.
What are Citroen’s prospects in India?
After two false starts in 2009 and 2011, Citroen finally entered the Indian market in 2019 by buying Hindustan Motors’ Tiruvallur factory near Chennai. In India, Citroen holds only 0.1% of the automotive market, with monthly sales averaging 660 units.
In the year 2024, Citroen’s sales records in India have found it difficult to cross the four-digit mark except in March 2024 when it recorded 1,006 units. However, the overall sales record in India has been uninspiring with the French dealer just selling 335 units in July 2024- making it the least selling car brand in the country.
However, Citroen is trying to establish its prominence in the Indian market by launching the 2024 C3 with added features and offering the Basalt coupe SUV at an affordable initial price of Rs 7.99 lakh which undercuts several of its rivals by a significant margin.