Stellantis has marked a major industrial achievement in Malaysia with the start of production of the new PEUGEOT 408 at its Gurun manufacturing facility. The milestone reflects the group’s growing confidence in the plant’s capabilities and signals Malaysia’s rising role within Stellantis’ regional production and export strategy.
The Malaysian-built PEUGEOT 408 is powered by an updated 1.6-litre turbocharged PureTech engine, now compliant with stringent Euro 6 emissions standards. This refined powertrain delivers an impressive 225hp — matching the output of the Plug-In Hybrid (PHEV) variant — while benefiting from a lighter 168kg kerb weight configuration. The result is a compelling blend of performance and efficiency designed to meet evolving consumer demands across Asia-Pacific markets.
Taiwan has been confirmed as the third export destination for the locally assembled fastback, following Thailand in 2024 and Cambodia in 2025. Stellantis is also assessing additional markets across the Asia-Pacific region, underlining the 408’s importance as a strategic export model.
To support this production programme, Stellantis committed a €1.5 million investment to upgrade the Gurun plant’s manufacturing line. Enhancements include specialised Research & Development work focusing on powertrain calibration and the development of localised components. These upgrades not only improve production efficiency but also ensure the vehicle meets Stellantis’ global quality benchmarks.
According to Isaac Yeo, Managing Director of Stellantis ASEAN, the development is a clear step forward in transforming Gurun into a critical regional manufacturing hub. He emphasised that strategic investments are enabling the facility to support both domestic and export production while expanding the range of Stellantis brands and models available to customers.
The production start of the PEUGEOT 408 forms a central part of Stellantis’ long-term roadmap for the Gurun plant. The company aims to operate the facility at full capacity, with an ambitious target of exporting 280,000 vehicles to 20 countries across the Asia-Pacific region by 2028.
This growth strategy is built around manufacturing flexibility. Stellantis Gurun is being positioned to produce a diverse mix of Battery Electric Vehicles (BEV), Internal Combustion Engine (ICE) models, and Mild Hybrid Electric Vehicles (MHEV). A notable component of this expansion includes the localised assembly of Leapmotor electric vehicles, beginning with the Leapmotor C10, supported by a dedicated €5 million investment.
As the first model introduced under Stellantis Malaysia, the PEUGEOT 408 represents a bold evolution for the brand. The award-winning fastback, recognised with the 2023 Red Dot “Design of the Year” accolade, showcases a dramatic redesign complemented by advanced engineering and modern technology. Its local production underscores Stellantis’ commitment to strengthening PEUGEOT’s presence in Malaysia while reinforcing the nation’s position as an emerging automotive export base.
With the Gurun plant now playing a more prominent role in Stellantis’ regional network, the production of the PEUGEOT 408 highlights both the company’s strategic momentum and Malaysia’s growing importance in the future of mobility manufacturing.