French PSA to invest 650 mln euros in India

France's No. 1 car maker PSA Peugeot Citroen announced Thursday an 650-million-euro (928.7-million-U.S. dollar) investment plan in the state of Gujarat, west of India. Under the sharing agreement, the Europe's second largest car maker "will build a cutting edge vehicle manufacturing facility integrating body paint and assembly operations with an initial capacity of 170, 000 vehicles per year with options for further expansion". In a statementon its web site, the French group said the first units produced in India are scheduled in 2014. PSA Peugeot Citroen posted a net profit of 1.13 billion euros (1.61 billion U.S. dollars) in 2010 with a turnover that rose by 15.8 percent to 56.06 billion euros (80.09 billion dollars).