Nissan, the Japanese auto manufacturer, has officially announced the launch of Terrano, a compact Sports Utility Vehicle (SUV), for the Indian auto market. Post launch, the model will be placed in the compact SUV segment and will compete against the likes of Renault Duster and Ford EcoSport, among others. It must be noted that Terrano is based on the Renault Duster; the model that has received good reviews and enjoyed considerable success across the nation. Although, no date has been set, Nissan hopes to launch the Terrano by this year end and in all probability, during the festive season, which is said to be the best time to launch a model.
Sources close to the development process stated that the upcoming model will be manufactured at Orgadam facility, owned by Nissan India, where the Renault Duster is also produced. According to reports, Terrano will feature both petrol and diesel engines having capacities of 1.6 litre and 1.5 litre, respectively. It must be noted that the 1.5 litre DCI engine of Terrano currently powers the Duster. There is also a possibility of a petrol version that will be fitted with a 1.6 litre four-cylinder engine capable of generating 102 bhp and 145 Nm of torque. Although, this segment has a lot of success in the Indian market, a lot depends on the pricing of the vehicle. Indian buyers are quite sensitive to price, which turns out to be influential in their decision of purchasing a vehicle or not.
This is the first time, since Nissan set foot in the Indian market in 2005 that the Japanese manufacturer will enter the compact SUV segment. Previously, Nissan had launched the X-Trail, a formidable SUV brought in through the Completely Built Route (CBU) route. Currently, Nissan produces around 2 lakh units annually at its plant located in Chennai, Tamil Nadu. This plant is shared between Nissan and Renault India Pvt. Ltd., the French automobile giant. As a result of this venture, similar cars have been produced by both companies, such as Nissan Micra & Renault Pulse and Renault Scala & Nissan Sunny.
It has been learnt from some sources that there is a deal between Nissan and Renault regarding production of similar vehicles. According to this agreement, if either of the companies launches a modified variant of the other company's car, then the company also has to introduce the next version of the car about a year later and at a higher price.