PSA PEUGEOT CITROËN's sustainable mobilitycommitment for today's

and tomorrow's generation

2

Agenda

The car in the global context of man made GHGThe energetic equation in the car industry & the need for a

continental scale low carbon energy schemePSA Global Policy for today & tomorrow to be a Sustainable

Mobility actorConclusion : our CO2 emission reduction strategy in China

3

The car in the global contextof man made GHG

4

The Automotive Object environmental footprint

5

154g

80

90

100

110

120

130

140

150

160

170

180

190

200

210

2008 2010 2012 2014 2016 2018 2020 2022

130g

95g

CAFE Europe

200g

145gg of

CO

2/km

110g

US government initiative

Automotive Industry Worldwide convergenceof CO2 objectives

6

The energetic equation in the carindustry & the need for a continentalscale of low carbon energy scheme

7

Which energy matrix for the 21th century ?

↘ For PSA and for the car industry, the CO2 and fuel issue must be considered globally

↘ Energy for transport means for today and the future should obey to three basis principles : the “triple” A scheme

→ A as Affordable

→ A as Acceptable

→ A as Accessible

↘ For PSA and for the car industry, the CO2 and fuel issue must be considered globally

↘ Energy for transport means for today and the future should obey to three basis principles : the “triple” A scheme

→ A as Affordable

→ A as Acceptable

→ A as Accessible

8

Which energetic matrix for the 21th century ?

Fossil FuelsConventional petrol

Coal Coal to Liquid (CTL)

Carb

on in

tens

ity

Electricity (Thermic) Coal central

Electricity (low or “0” CO2)Nuclear power plantHydro-electricityWind mills Solar Energy

?...

Proven reserves

Petrol = 40 years Gas = 60 years Nuclear Isotopes = dozens years Lithium = ?

Sun = 5 billion years Biomass = id Others = ?

Gas CNG

Synthesis fuels Fisher-Tropsch

Time scale

Biofuels2d generationAlgae extractedEtc.

First generationBiofuels

2000 2040

9

A need for a clear view on the energy matrixkey issue for the car industry

↘ To ensure the right choices, in terms of: → Advanced energy converter (Hybrids, Plug-in, EV’s etc.)→ Economic model (tax included …)→ Investments security (R&D, industrial investments)

↘ We need a clear view on the way the energy matrix will be developed at least at Continental scale

↘ Free market can presumably deliver appropriate answers, although without the necessary coherence and timetable

→ Public – Private Cross fertilization is key to succeed in the development of low carbon, high intensity energy to use in the transport sector

→ Time is the essence

↘ To ensure the right choices, in terms of: → Advanced energy converter (Hybrids, Plug-in, EV’s etc.)→ Economic model (tax included …)→ Investments security (R&D, industrial investments)

↘ We need a clear view on the way the energy matrix will be developed at least at Continental scale

↘ Free market can presumably deliver appropriate answers, although without the necessary coherence and timetable

→ Public – Private Cross fertilization is key to succeed in the development of low carbon, high intensity energy to use in the transport sector

→ Time is the essence

10

PSA PEUGEOT CITROËN Global Policy for today & tomorrow to be a Sustainable Mobility actor

11

↘ A wide offer of passenger cars < 130 g.CO2/km↘ Technologies :

→ New engines: Direct injection turbocharged

→ Downsizing→ New automatic transmissions→ Low rolling resistance tyres→ ….

↘ In a nearby future :→ Micro Hybrids→ Full Hybrids→ Electric Vehicles

↘ A wide offer of passenger cars < 130 g.CO2/km↘ Technologies :

→ New engines: Direct injection turbocharged

→ Downsizing→ New automatic transmissions→ Low rolling resistance tyres→ ….

↘ In a nearby future :→ Micro Hybrids→ Full Hybrids→ Electric Vehicles

ISO 14001 plants

Distribution network

Recycling: vehicle Valorisation = 95 %

DownstreamUpstream

12

PSA Peugeot Citroen low carbon design and architectural methods: a global approach

Powertrain10% engine consumption reduction

15g CO2 benefit

Rolling resistance10% tyre rolling resistance reduction

2g CO2 benefit

Aerodynamic properties5dm2 benefit on SCx 2.5g CO2 benefit

Global weight100kg weight reduction

4g CO2 benefit

13

Citroen METROPOLIS – Green and Beautiful

Battery PackLithium ion

Hybrid(System)

Control unit

ElectricEngine70 kW

Power Electronic

Unit

7 speed Dual clutchElectronic gearbox

2nd generation

Stop & Start

METROPOLIS2.0 L V6 Engine 200 kW

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Our Ambition in China

A very ambitious Target :

Less 50% CO2 emission By 2020

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A clear view

• A clean car offer for every customerUrban &

Peri-urban

Polyvalent

CO2

Emission

Urban

20202015

2010

Full hybrid

Hybrid HY4HYbrid Plug-in< 50g CO2/km

New Generationof Gasoline

engines

Stop & Startup to

-15% CO2/km

Electric Vehicle

The way to achieve a 50% consumption reduction -

Lots of technologies to be developed

16

PSA PEUGEOT CITROËN's sustainable mobilitycommitment for today's

and tomorrow's generation

SHANGHAÏ – September, 12 2010

PSA PEUGEOT CITROËN's sustainable mobilitycommitment for today's

and tomorrow's generation

SHANGHAÏ – September, 12 2010