- Australian distributor drops Peugeot after years of poor sales.
- Vehicle imports are frozen while existing dealer stock clears out.
- Stellantis insists the French brand has a future down under.
France’s automotive presence Down Under has taken another hit. Independent distributor Inchcape Australasia and Stellantis have mutually agreed to end their Peugeot partnership after sales never found any real traction, and both sides are framing it as a clean, cooperative parting rather than a fallout.
Inchcape has been here before. Back in 2024, it dropped sister brand Citroen from the Australian market after the double chevron was outsold locally by Ferrari. Peugeot is now going the same way, its local volume sliding through a multi-year freefall that never leveled off.
More: Peugeot Is Putting Le Mans Badges On Everything, Except Two Models
Peugeot moved just 373 units in Australia through the first five months of 2026, a 35% drop against the same stretch last year. The Partner van did most of the lifting, accounting for 43% of the brand’s local sales and outselling a passenger range that spans the pre-facelift 308 hatch, the 408 fastback, and the 2008, 3008, and 5008 SUVs. When a work van outsells every car on the floor, the showroom has a problem.
Things weren’t any prettier before, either. Peugeot sales dropped 29% in 2025 after a 25% slide in 2024, and even with a fresh lineup the Stellantis brand couldn’t come close to its record 8,807 Australian sales from 2007
Peugeot Won’t Be Leaving Australia
The high-profile split doesn’t spell the end of the road for the Lion brand in the region, though Per the official announcement, “Stellantis has confirmed the Peugeot brand will continue in Australia and will provide updates on its local plans in due course.”
Inchcape said it is working with Stellantis “to ensure a smooth transition for the brand, with a focus on supporting customers, dealers and partners”.
The company won’t be taking new orders, but prospective buyers can still get their hands on existing Peugeot stock. The importer will also keep supporting warranty and servicing through a transitional period, with the final date for the split still to be announced.
More: Stellantis Is Bringing Back A 30-Year-Dead Brand For Legal Reasons
Having now dropped both Citroen and Peugeot, Inchcape is left with long-time partner Subaru and Chinese brands Deepal and Foton. Whether Peugeot ends up with another independent distributor or joins the Stellantis Australia stable next to Abarth, Alfa Romeo, Fiat, Jeep, and Leapmotor remains to be seen.
