Peugeot warns UK jobs at risk due to strong pound
LONDON, April 23 (Reuters) - French car maker Peugeot SA <PEUP.PA> warned on
Sunday that the continued strength of the pound was threatening jobs at its
plants in the UK's West Midlands.
The Observer newspaper quoted a senior Peugeot source as saying jobs were at
risk at its plants in the Coventry area because the high value of sterling
was making UK investment decisions "hard to predict."
Urging the UK government to state once and for all whether it would or would
not join the single European currency, the source said "Two thirds of our
production is for export. It's a big concern not just now but for the future,
because the high level of the pound against sterling makes future investment
difficult."
He added that some components would probably be sourced from abroad, although
stopped short of saying that plans, announced in January, to build a new
Citroen car in Coventry had been put on hold.
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