Renault India to start working on sub Rs. 4 lakh car

Friday 03 February 2012, 11:41 AM by

Marc Nassif, the Country Managing Director of Renault India Pvt. Ltd., revealed that the French manufacturer has plans to develop a passenger car that costs less than Rs. 4 lakhs. At a recent launch event of the B-segment hatchback Pulse, Nassif commented "Beyond Rs. 4 lakhs a car is our playing ground today (in India). We project to go below Rs. 4 lakhs."

The automotive giant believes that cars priced between Rs. 2 lakhs and Rs. 4 lakhs account for approximately half of the domestic passenger car market. Thus, the new low cost car will assist the company in increasing its market share in the country. Nassif said that this upcoming car will be a part of the company’s global strategy.

Talking about the sales target of the company in the country, he commented "We will aim to sell one lac cars once we have our five cars on the roads and 100 outlets. It can be 2013 or 2014...that will depend on how the models are doing and the growth of the market." The company had been able to sell a total of 1500 units of Koleos and Fluence in India in 2011.

The French manufacturer, which had forayed into the country in 2005, has already launched three cars in India. Recently, it had rolled out the diesel variant of its Pulse with a price tag of Rs. 5.77-6.25 lakhs. It had unveiled Fluence, a luxury sedan, in May 2010, which was followed by Koleos, a compact Sports Utility Vehicle (SUV). Duster, the company’s SUV, will hit Indian roads in the second half of 2012, while a sedan is expected to be launched by the end of the year. Renault aims to open 100 outlets in the domestic market by December 2012.