With two main warehouses and 40 hub sites, Longstar delivers a catalogue of 10,000 parts from 18 international suppliers to 4,000 independent repairers. PSA says it will gain access to a “competitive, efficient distribution system meeting the highest market standards” through the acquisition.
Growth of the French group’s aftermarket multi-brand offering is a pillar of the ‘Push to Pass’ strategic plan which in China has seen PSA purchase a stake in Shandong-based UAP and acquire Jian Xin which is active in the Shanghai area.
Carlos Gomes, executive vice-president, China and Asean, said: “Groupe PSA is on the offensive in China, not only for new car sales, but for all Push to Pass objectives. The aftermarket is one of PSA’s successes in China and this third initiative will give us the opportunity to accelerate this success.”
Christophe Musy, senior vice-president, PSA aftermarket, commented: “China will soon be the world’s biggest aftersales market, and we have set ourselves very high ambitions there, which is why we’re already securing strong market positions and ensuring wide geographical coverage of the market”.
PSA is also seeking to bolster its multi-brand repair network, Euro Repar Car Service, which in China currently covers 480 garages, 17 product families and meets 55% of the needs of independent garages.
The group foresees Longstar’s existing customer base contributing to the expansion. The goal is to have 4,000 workshops by 2023 in China and 10,000 worldwide under the Eurorepar range.
The latest developments in the Chinese automotive logistics market will be under discussion at the Automotive Logistics Global Shanghai (formerly Automotive Logistics China) conference, which takes place April 16-18.