French daily Le Monde, citing a report by France's competition and consumer affairs anti-fraud agency DGCCRF, said carmaker PSA, owner of Peugeot and Citroën, has been found to have equipped its diesel engines on up to 1.9 million vehicles with so-called defeat devices that would reduce the level of nitrogen oxide emissions during testing.
Press reports in Germany said French carmaker PSA, which is to buy up General Motors' European arm producing Opel- and Vauxhall-badged vehicles, has told the German government that all four Opel factories in the country would continue to operate, while PSA's chief executive is to meet British Prime Minister Theresa May over the future of Vauxhaull's plants.
Vehicle assembly at struggling carmaker PSA's historic plant of Aulnay-sous-Bois near Paris ends ahead of total closure of the factory next year.
Arnaud Montebourg, self-styled champion of 'Le Made in France', says increasing Chinese stake in carmaker will not lead to French loss of control.
New car sales in France in August contracted 11% year-on-year, with Peugeot-Citroën, the country's largest volume producer, bearing the brunt.
Result is the worst in the firm's history, but France's number one carmaker insists it has built foundations for recovery.
French car maker PSA Peugeot Citroën has pledged to keep its industrial base and bulk of investment in France.