The Peugeot-Citroen-DS Group is gearing up to develop its own electric car. Recent reports claim that the PSA electric car is slated for a 2019 release and out of the three options, the group has picked a car from DS.

Despite the optimism around the future of the electric vehicle industry, PSA Group chief executive officer Carlos Tavares have downplayed this fledgling market. In an interview, Tavares stated that electric vehicles will not be profitable in the near future. He added that one lucrative aspect of this industry is selling batteries, and not the car itself.

Creating a PSA electric car this early might be a good strategy. PSA's move is to wait for the electric car industry to fully bloom rather than jumping headfirst.

"I don't think an EV will be profitable in the near future," Tavares said. "Not unless you can sell the battery on to a second use. It's hard to see how the prices of new batteries will move."

Despite his skepticism, Tavares confirmed that PSA is in the process of developing its own technology for electric vehicles. He has stated in the past that the first electric vehicle from PSA will be a DS. Several reports have confirmed that PSA will use the Compact Modular Platform for its electric vehicle plans.

Some motoring analysts have stated that PSA is inching closer to taking over General Motor's Opel division in Europe. If the deal should pass, the planned PSA electric car can use some of GM's electric-car technology.

According to US Finance Post, GM chief executive officer Mary Barra is open to the possibility of allowing the PSA electric car to integrate some technologies which are currently embedded in the new Ampera-e and Chevrolet bolt. There are also reports that Opel is planning to turn itself into a purely electric car brand.

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