According to a report in the Financial Times, the carmaker has started to ramp back its shifts and production of some small cars as concerns over the European and global economies mount. It is also looking for other ways to cut costs further.

Chief executive Philippe Varin told the FT: ‘It’s a very uncertain outlook today, to tell the truth.

‘I don’t have a crystal ball, but at the management level of the company we are preparing for tougher times.’

However, the report says that Mr Varin still forecasts that sales in the European car market will remain flat this year but is preparing for tougher times by cutting some shifts and production of some of its models, including the Peugeot 207 and Citroen C3.