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Peugeot Citroen has launched a massive cost-saving drive across the business in an effort to avoid further job cuts. Europe's second biggest carmaker said in April it was hoping to axe 4,800 jobs through voluntary redundancies in France - its home market - this year. The firm plans to cut its fixed costs by a third amid intense competition from Asian carmakers and rising raw material costs. Purchasing costs will be slashed by 6% next year by sourcing from low-cost countries to help achieve their savings targets, the firm's boss Christian Streiff said. He did not rule out further job losses and factory closes, but said the company wanted to avoid closing capacity, only to have to rebuild it later at a higher price.