Popular car brand to stop selling vehicles in Australia

Citroën has axed the sale of new cars in Australia after years of plummeting sales and increased competition.  

The French car brand made the shock announcement that it would cease sale operations from November 1 – ending a century-long effort to win Aussie motorists.

The first Citroën arrived in Australia 101 years ago in 1923, just four years after the brand launched in Europe. 

However, in recent years, Citroën has battled increased competition and poor sales. 

Citroën recorded a record low of just 87 new car sales in the first six months of 2024, which is more than a 35 per cent drop from 228 sales in the same period last year. 

The brand, which is the longest continuously-running automotive brand in Australia, saw sales plummet a whopping 94 per cent since its peak in 2007. 

Citroën Australia General Manager David Owen said the ‘rapidly evolving’ Australian market influenced the brand’s decision. 

‘Whilst we acknowledge and celebrate Citroen’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,’ Mr Owens said. 

‘The decision was made after careful consideration of the current and future product available for our country, in the context of the local market and the preferences and requirements of Australian new vehicle buyers.’ 

The nine nationwide Citroen dealerships will only provide service and vehicle maintenance support for existing Citroën owners.    

‘We know there will continue to be Citroën owners in Australia, with many Citroën vehicles still on the road,’ Mr Owens added. 

‘Our passionate Citroën Australia team and retailer network are committed to supporting the continued vehicle maintenance needs of our customers.’

Citroën Australia said all new-car orders that are placed before November 1 will be fulfilled and will uphold its pre-paid servicing, five-year/unlimited-kilometre warranty and its capped-price service plans. 

The announcement comes after Citroën offered discounts of up to $30,000 on its models in July in an attempt to clear old stock and increase sales. 

Peugeot has now introduced similar significant discounts, raising concerns about the future of the marque in Australia.

In recent years, the Citroën had also axed many of its entry-level models and shifted to focusing on sales of its premium vehicles.

The company was offering just four models including the C3, C4, C5 Aircross and the C5 X. 

The French car brand cited increased competition and plummeting sales as some of the reasons behind its decision to exit the Australian new-car market

The brand’s sales took a downward trend from 2017 after recording 735 new car sales, down from 965 in 2016. 

In the subsequent years, sales dropped to 494 vehicles in 2018, 400 in 2019, 296 in 2022 and 228 in 2023. 

The sales were in stark contrast to the company’s record annual total of 3,800 vehicles in 2007, when the brand was distributed by independent importer Ateco.  

Various independent distributors sold Citroën in Australia over the past 101 years, with Inchcape – which also distributes its sister brand Peugeot – selling vehicles since July 2017.

In 1925 the Citroën 5CV was the first motor vehicle to circumnavigate Australia, with just 48,0000 kilometres on the odometer. 

The vehicle, which was driven by 22-year-old Neville Westwood, now resides in the National Museum of Australia in Canberra.