Production
The 206 was mainly manufactured in Peugeot's Poissy and Mulhouse factories although the car is also produced by Iran Khodro in Iran for that market. It was assembled in Chile for the Mexican and Colombian markets (French made 206s were cheaper than Chilean-built ones, in Chile). The Brazilian production in Porto Real, Rio de Janeiro, started in 2001, followed by the SW version in 2005. The Brazilian production features 1.0L 16V, 1.4L 8V, and 1.6L 16V engines, the last two of which are flexible fuel engines (petrol/ethanol). The 1.0L version used a Renault-sourced engine and was produced until 2006.
The Peugeot 206 was also built at Ryton in Coventry, England, however, with the introduction of the '207' to the range Peugeot decided to close the Ryton factory and move production to Slovakia with EU funding. This was despite the workforce and management meeting or exceeding Peugeot quality and efficiency targets, making it one of their best plants. Ryton closed in January, 2007 with the loss of 2,300 jobs making it another blow to the British motor industry after MG Rover collapsed. The Peugeot 206 proved to be a sales success all over Europe. It was the best-selling car in Europe from 2001 to 2003.and it was the best car of the year of UK for 3 years 1998-2001 The 1.4L XR was the best-selling model. On May 26, 2005, the 206 celebrated the five millionth unit produced since its commercial launch on 10 September 1998. Sales in the United Kingdom were strong from the start, with the 206 regularly being among the nation's five most popular new cars during its first six years on sale. Second-hand examples of the 206 traditionally hold their value well, due to high demand.
The Peugeot 206 is also being produced in Villa Bosch, Buenos Aires, Argentina since 1999. The trims being manufactured are XR, XRD, XS, XT and XTD. The diesel powered versions use the naturally aspirated DW engine. Some of these versions are equipped with local-made engines in Jeppener, Buenos Aires
In May 2006, the Malaysian car manufacturer Naza launched a locally assembled version of the 206 with the name of "206 Bestari". In 2006, Peugeot started production of the 206 in China. In September 2006 Citroën China produced a slightly modified Peugeot 206 called Citroën C2 (this car has nothing in common with the European Citroën C2).
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