Tofaş signed a contract with its main partner Stellantis for the production of the light commercial vehicle called K0 in Turkey.
According to the statement made by the company to KAP last night, it was aimed to produce 1 million units between 2024 and 2032 within the scope of the production contract.
Most of the 232 million euro investment for production covering different “energy platforms” will be implemented this year.
The new vehicle will be produced for Stellantis’ Fiat, Opel, Citroen and Peugeot brands. The distribution rights for the Fiat brand in Turkey will belong to Tofaş, and if Stellantis Automotive, the distributor of other brands, is transferred to Tofaş, the distribution rights of other brands in Turkey will also pass to Tofaş.
Within the scope of the agreement, in addition to the load-carrying model of the vehicle, a passenger-carrying “combi” model will also be produced.
The “cost plus” pricing method will be used in all purchase and sale transactions made by Tofaş in the production contract.
If the annual production cost target is reached within the scope of the contract, an additional payment will be made to Tofaş by Stellantis. If production remains below the targets, investment and fixed costs will be shared by the parties.
