TREMERY, France (Reuters) - French carmaker PSA, owner of the Peugeot, Citroen and DS brands, will start assembling batteries for its hybrid and electric cars at its plant in Trnava, Slovakia, and later at its plant in Vigo, Spain.
The company also expects to assemble batteries at some of its other factories as sales of electric cars pick up, Peugeot's industrial director Yann Vincent said on Friday at a plant in the town of Tremery in eastern France.
The carmaker currently buys batteries from South Korean company LG and China's CATL.
Vincent added the company expected rising demand for electric and hybrid cars, as well as for vehicles with automatic gearboxes, to offset falling demand for diesel and manual gearbox cars.
Peugeot expects output of engines at Tremery will fall to 1.7 million this year, down from 1.8 million last year due to falling demand for diesel cars.
(Reporting by Gilles Guillaume, Editing by Susan Fenton and Mark Potter)
