Citroën to Exit Australian Market; Continue In New Zealand

Citroën, a French automotive brand with over a century-long presence in Australia, is set to depart from local showrooms by the end of 2024. The decision was confirmed by Inchcape Australia, the brand's local distributor, which announced that orders for new Citroën vehicles will cease from November 1, 2024. This move comes as the company shifts its focus to the more successful sibling brand, Peugeot.

The closure marks a significant moment in Australian automotive history, as Citroën was one of the longest-continuously operating carmakers in the country, having first entered the market in 1923. However, the brand’s sales have been in steep decline, leading to the decision to end new vehicle sales. Despite its rich legacy, Citroën’s small market share in Australia made sustaining its operations increasingly difficult.

In an official statement, David Owen, General Manager of Citroën Australia, emphasised that the decision was not made lightly. "Whilst we acknowledge and celebrate Citroën’s rich history in the Australian market, we must look to the future and consider the rapidly evolving, dynamic, and competitive nature of the industry and local market, alongside changing consumer demands," said Owen.

Owen noted that the decision was based on careful consideration of the current and future product lineup available for Australia, coupled with an analysis of market trends and buyer preferences. "Our dedication to putting our customers at the centre of everything we do remains resolute," he added, assuring that existing Citroën owners will continue to receive support for vehicle maintenance and servicing.

Once the last Citroën orders are fulfilled, Inchcape will transition to a service-only model, maintaining 35 service centres across the country. Customers who place orders before the November 1 cut-off will still benefit from Citroën's five-year, unlimited-kilometre warranty, capped-price servicing, and service plans.

The Citroën C5 X’s plug-in hybrid variant, set to launch later this year, will be the final new model to hit Australian showrooms before the brand exits the market. Presently, Citroën’s local lineup consists of four models: the C3, C4, C5 Aircross SUV, and C5 X.

Citroën’s departure is largely driven by persistently low sales figures. The brand’s peak year in Australia was 2007 when it achieved 3803 deliveries. However, sales have since plummeted, with only 175 units sold in 2021. While there was a slight recovery with 228 deliveries in 2023, the year-to-date registrations for 2024 are down by 35.6 per cent compared to the same period last year, with just 87 units sold between January and July.

Citroën's weak sales position places it among the least popular car brands in Australia, outpaced even by luxury and niche brands like Aston Martin, Bentley, and Ferrari. In contrast, Peugeot has fared much better, recording 2516 sales in 2023 and nearly matching Citroën’s total sales since 2019 in just the first half of 2024.

The withdrawal of Citroën from the Australian market represents the end of an era. The brand’s storied history in the country includes the introduction of the Citroën 5CV, which was its first model to land in Australia over 100 years ago. While Peugeot, Citroën’s now-sibling brand, had an earlier presence, it faced periods of absence before re-establishing itself, making Citroën the carmaker with the longest uninterrupted presence in Australia.