Peugeot Citroën C5

It is unclear when sales of the new C5 will begin in China, where the current model arrived in 2008. PSA Peugeot Citroën builds the C5 in China at the Wuhan plant it operates together with joint venture partner Dongfeng Motor.

Jackson added that there is a "question mark" over whether the C5 replacement will be offered in Europe as well. "Looking at the market you certainly see that segment reducing significantly and being taken over by SUVs," Jackson explained.

European sales of the current Citroën C5, offered both as a sedan and estate, don't make a good case for a follow-up model in the region. Sales fell 27 percent to 17,911 units last year, according to JATO Dynamics.

However, C5 still ranked ninth in Europe's volume midsize segment, where sales have declined by 37 percent since 2011. That contrasts with SUV and crossover sales, which grew by 21 percent in Europe last year for all brands.

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