Citroen to exit Australia. Here's the reason behind ending a 123 year legacy

4 months ago | 50 Views

The French carmaker, Citroen has announced that it will be stop selling cars in Australia from November of this year. This marks an end of an era for the automaker which has been doing business in the country for the last 123 years.

The primary reason behind the decision to cease operations is Citroen’s ever falling sales in Australia. Surprisingly, the annual sales for the French carmaker in Australia has been hovering around 200 units over the past five years.

Declining Sales and Aging Lineup

In fact, Citroen’s sales in Australia have sharply declinedfrom a peak of 3,803 units in 2007 to a mere 175 units in 2021. During the first half of calendar year 2024, Citroen has only managed to retail 87 vehicles, further highlighting the brand's struggles in the Australian market.

To put that into perspective, even the poshest of the supercar and luxury carmakers have outsold Citroen in Australia. Maserati for example have sold 200 units in the same timeframe, while Ferrari, Lotus, Bentley and Aston Martin have sold 113 units, 102 units, 102 units and 86 units respectively.

Primary reason behind the lacklustre sales is Citroen’s ageing lineup. The current lineup of Citroen in Australia include C3, the C4 crossover, the C5 Aircross SUV, and the C5 X fastback crossover. Interestingly, while Europe recently saw the new generation models for the Citroen C3 and C3 Aircross, Australian audiences were never given a chance to get one.

Strategic Considerations and Future Focus

As reported by CarScoop, David Owen, General Manager of Citroen Australia, explained that the decision was made following careful consideration of current and future products available for Australia, against local market preferences and requirements.

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It's that budget-focused Citroen personality within the Stellantis umbrella, and the new emphasis on smaller, not larger or premium, offerings that didn't jibe with this market.