AUSTRALASIAN automotive distributor Inchcape Australia is dropping Peugeot and handing the brand back to the manufacturer, represented by Stellantis Australia.

It is the second brand Inchcape Australia, a subsidiary of listed UK company Inchcape Plc, has dropped after ending its distributorship of Citroen on November 1, 2024.

In a concurrent move, Inchcape has also announced it would cease being the distributor in  New Zealand for KGM (SsangYong). It has held the importer status since 2023 after buying out the previous importer, Great Lake Motor Distributors.

In a statement, Inchcape said “As part of Inchcape’s standard approach to portfolio management, we continuously review our partnerships to ensure we have the right portfolio of brands for our business, aligned with our strategic growth objectives”.In relation to the Peugeot distributorship, Inchcape said in a statement: “As a result, Inchcape Australia and Stellantis have mutually agreed to end their distribution partnership for Peugeot in Australia, with the final date to be confirmed following a transition period”. 

“Stellantis has confirmed the Peugeot brand will continue in Australia and will provide updates on its local plans in due course.”

The Inchcape statement said it was “working collaboratively with Stellantis “to ensure a smooth transition for the brand, with a focus on supporting customers, dealers and partners”.

“We would like to thank Stellantis for their partnership over the years and we wish them every success for the future of the Peugeot brand in Australia”

Peugeot sales for the year-to-date ending April 30, 2026 were 320 units, down 32 per cent on the same period in 2025. In April, the 20 dealers shared the sale of 68 new Peugeot vehicles.

Peugeot’s best-selling passenger car was the 2008, with 10 sold nationally in April. However, sales of its commercial vans were up 4.4 per cent on 2025 with 37 sales of the Expert, Partner and Boxer vans.

Stellantis is the parent of 14 brands including French manufacturers Peugeot and Citroen.Inchcape said it would support the sale of existing stock, warranty and servicing during the transition period, while working closely with Stellantis as it progresses future distribution arrangements in Australia.

“Throughout this time, customers will continue to have access to factory-trained technicians, genuine Peugeot parts, and ongoing servicing, including recall campaigns and diagnostic updates,” it said.

“Inchcape remains committed to the local market, with a brand portfolio designed to meet the needs of a wide range of Australian consumers spanning passenger and sports utility vehicles, utes and trucks, offering both traditional internal combustion engines as well as hybrid and electric powertrains.”

Inchcape Australia also distributes car brands Subaru, Foton and Deepal. In New Zealand, it distributes Subaru and LDV.

Citroen ended sales in Australia on November 1, 2024. It had been reducing its model range in Australia in line with sagging sales and in 2024, was left selling four models – C3, C4, C5 Aircross, and C5 X.

Citroen’s exit marked more than 100 years in Australia, going on sale here in 1923, only four years after the company launched in France.Inchcape Australia (and Citroën Australia) general manager David Owen said when the Citroen announcement was made that it was attributed to increased competition in a “rapidly evolving” market.

“The decision for Citroën Australia to cease new vehicle sales was not made lightly; it was made after careful consideration of the current and future product available for our country, in the context of the local market and the preferences and requirements of Australian new vehicle buyers,” Mr Owen said.

In New Zealand, KGM has said it will advise at a later date about future distribution arrangements.

KGM in Australia is a full factory-owned and operated subsidiary with its head office and parts warehouse located in Melbourne.