Nissan Motor India Private Limited (NMIPL), a subsidiary of the Japanese auto major Nissan Motor Company, has revealed plans to roll out its low cost brand Datsun in the country's passenger car market somewhere in 2014. The revelation came on October 3, 2012 and the company also declared that it will launch the first car under the Datsun brand at a sub-Rs. 4 lacs price tag.
Reportedly in September 2012, NMIPL had announced plans to introduce two cars under the Datsun brand in the auto markets of India, Indonesia and Russia by fiscal 2014. The company also said that another product will be launched within three years of the launch of first three models. Accordingly, a spokesperson of Nissan India acknowledged these future plans and said, “Specifically, in India, our core offer will be priced below Rs. 4 Lacs. For Indonesia, less than $10,000. For Russia, the core offer will be below 400,000 Rubles.”
Recently, the global Joint Venture (JV) between French auto maker Renault and Nissan, has ended its sourcing partnership with Bajaj Auto Limited towards introducing a low cost four-wheeler in India. Interestingly, the Franco-Japanese automotive alliance has opted for the low cost auto players operating in China and Russia, for developing its economical small car.
Underlining the company sourcing requirements and future plans, a spokesperson of NMIPL said, “We have decided against further collaboration with Bajaj on a four-wheeler vehicle. Outside India, the Renault-Nissan Alliance is addressing 'price-entry' segments in many emerging economies, such as Indonesia, China and Russia.”
Towards effectuating a commanding presence in the Indian passenger car market, NMIPL will launch 10 new products, comprising both its premium models and low cost entry-level Datsun brand in the country by the end of 2016.
Industry experts believe that the upcoming Datsun cars with a sub-Rs. 4 lacs price tag will enable NMIPL to confidently compete against the current market champion Maruti Suzuki. Maruti Suzuki India Limited (MSIL) has been an auto industry heavy weight for more than two decades and few major players have been able to check its dominance in the domestic market. The aggressive pricing of the Datsun cars will come handy in luring Indian car enthusiasts towards the company stores, besides could steer the sales away from Maruti Suzuki as well.
