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most of Peugeot cars have a hall-effect sensor on speedometer, so first you have to check if there is 12 volts and 0 volt on the three way connector of the speedometer, if yes take out the sensor located on gearbox and spin the gear at the end of sensor manually, let anybody else put the ignition switch on and observe the needle of speedometer, does it work? if YES, the problem is in the gearbox if NO check with another sensor otherwise you mostly have a problem with instrument panel.
The easy option is to look for a sensor that resembles it on the gearbox.This sensor used to be called the speedometer head when they were connected by cable to the dash speedo.Now they are electronic but still send the same base info.It usually is located on the gearbox top area near the back.It should have a plug connected to it and usually secured in place by a 10 mm bolt.You will need to unbolt it and lift it out.It may be lodged in tight and will need some gentle coaxing and twisting to assist withdrawing.Refit new one and secure and plug in.There are a few other sensors internally but this should be the one you are looking for.I hope this helps or get back with your findings.
LEVEL CHECK -manual transmission
The vehicle speed sensor (speedometer gear), which is located on the transaxle, serves as the manual transaxle's dipstick.
Park the car on a level surface, turn the engine OFF and apply the parking brake.
Locate the speedometer cable assembly where it enters the transaxle.
Unplug the electrical connection from the vehicle speed sensor (speedometer gear).
Disconnect the speedometer cable from the speed sensor.
Wipe the area around the speed sensor with a clean rag, then loosen the speed sensor retaining bolt.
Gently pry the speed sensor from the transaxle.
Fig. 1: Location of the manual transaxle's fluid level marks — 1.8L engine
Fig. 2: Location of the manual transaxle's fluid level marks — 1.9L and 2.0L engines
Check the condition of the speed sensor O-ring and replace it if it is damaged.
Check the fluid level on the speed sensor as illustrated.
If the level is low, place a funnel in the speed sensor hole.
Add the specified fluid to the transaxle until the FULL level is reached. Do not overfill the transaxle.
Install the speed sensor and tighten the retaining bolt to 69–104 inch lbs. (8–12 Nm).
Connect the speedometer cable.
Engage the speed sensor electrical connection.
Fig. 3: If necessary, add transmission fluid through a funnel into the speed sensor opening
Find the Vehicle speed sensor (VSS) and replace it (not very expensive) - that may well be the cause. This will be mounted on the gearbox with wires coming from it. Could also be loose connection behind the speedometer, or bad connection from the VSS.
SPEEDOMETER (SPEEDO DRIVE) IS USUALLY LOCATED IN GEARBOX NORMALLY SCREWED IN SMALL BOLT YOU WILL PROBABLY FIND IT AT REAR END OF GEARBOX AS FOR RPM DIAL THAT IS USUALLY WORKED THROUGH CRANKSHAFT SPEED SENSOR BEFORE YOU GOCHANGING SPEEDO DRIVE MAKE SURE ITS NOT A BLOWN FUSE
The speedometer works from a steel sheathed cable that is connected to the drive shat at the rear of the gearbox. The internal braided steel cable rotates inside the sheath connecting the drive shaft to the back of the speedometer. The cable sheath connects to the gearbox casing and the internal cable has a lug that engages with a rotating shaft in the gearbox. The cable connects in a similar way to the back of the speedometer. Your problem is likely to be associated with the cable. It can have become disconnected at either end or, more likely, the internal cable has broken.
Its easy to check out. Find where the cable come through the firewall between the passenger compartment and the engine compartment then follow it down to where it connects to the gearbox. Disconnect it and see if it is broken. Alternatively you can find where it connects to the back of the speedometer and disconnect it there. If it is broken the internal cable will come out of the sheath.
Replacing the cable is easy enough but requires some scrambling around under the dash.
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