Nissan-Renault has invited Hinduja Group Company for a possible alliance for a joint venture project in Chennai. Nissan-Renault wants to introduce a third partner in their Chennai manufacturing unit where Mahindra and Mahindra was their partner. Mahindra pulled out of the joint venture early last year stating lack of synergy.
Nissan-Renault wants Hinduja group to move its light commercial vehicle project with Nissan to Chennai. This would facilitate better use of plant’s capacity of manufacturing 400,000 units annually. Nissan has a joint venture with Ashok Leyland for manufacturing LCV in Pillaipakkam, also near Chennai, with 100,000-unit-a-year capacity. It wants the company to move this project to its Chennai plant.
Nissan-Renault ultra cheap car project is also delayed in India. The company has scaled back its plans in the country owing to the slump in the market. It has a joint venture with Bajaj Auto to manufacture ultra-cheap car which has now been put on the back burner. Nissan also plans to launch new X-Trail and new Teana in India.