Peugeot has commenced production of the 208 subcompact hatchback at the El Palomar plant in Argentina, marking the debut of the modern CMP platform in Latin America.

Production of the new 208 began on July 31 in El Palomar, a satellite town of Buenos Aires, marking one of the most important launches in the brand’s history in both Argentina and Latin America.

That’s because it signals a different approach from PSA Group with regards to the markets in the region. With the notable exception of VW, rival automakers present in Latin America typically offer small cars based on dated platforms.

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The Peugeot 208, however, is underpinned by the carmaker’s latest Common Modular Platform (CMP), a modular and multi-energy architecture that also accommodates EVs. CMP is dedicated to the production of all compact city cars (B segment), entry level and mid-range saloons (C segment), and compact SUVs.

Furthermore, the El Palomar facility has undergone a major industrial transformation, starting with a $320 million investment in 2016. The plant is now one of the most innovative within the PSA Group and integrates some suppliers to make the production processes even more efficient.

As a result, the 208 built in Argentina is largely the same as the one made in Slovakia and Morocco. For example, the local version of the subcompact hatch features the latest generation on-board technology, which includes a new generation Peugeot i-Cockpit with a 3D head-up display and many driving aids. According to Peugeot, this level of technology is unprecedented in this segment in Latin America.

At launch, the 208 will be offered in Argentina with two petrol powertrains: an 82 PS (81 HP) 1.2-liter three-cylinder and a 115 PS (113 HP) 1.6 four-cylinder. The standard five-speed manual and optional six-speed automatic transmissions send power to the front wheels. New powertrains, such as the 130 PS (128 HP) 1.2-liter turbo and the all-electric e-208, will be added later on.

“This launch marks a new era for Groupe PSA in Latin America, reaffirming our commitment to the country, to the social partners and to our employees. We are continuing to invest in order to offer our customers a range of increasingly modern and technological products. For us, this commitment is always linked to the long run, for the future”, said Patrice Lucas, Groupe PSA Latin America President and member of the Executive Board.