Renault India, the domestic arm of French auto maker, seems to be developing a new Multi Purpose Vehicle (MPV) for the local market. Sources close to the development process revealed that the new utility vehicle will be a result of badge engineering model of Nissan Evalia, which is currently available on the Indian roads. Along with, the auto maker is also planning to introduce a new hatchback, which will take on the likes of Maruti Suzuki Swift and Hyundai i20. Reportedly, the new small car from Renault will be designed on the new Common Module Family-Affordable (CMF-A), which will take somewhere around 2 years in completion.
Industry experts are of a view that with the launch of two new models in the Indian auto market, the product count of Renault will reach to seven from current five. Expressing his views on the recent development, the Executive Director for Marketing at Renault India, Sumit Sawhney was quoted as saying, “Renault India has introduced five products in 18-20 months. The next 24 months will see introduction of two products and consolidation of the market.”
Earlier, the Chairman and Chief Operating Officer of Renault-Nissan, Carlos Ghosn had recently shared his thoughts over the innovative and competitive CMF-A platform and now, he is being joined by Sawhney who reportedly said that the MPV was under developmental stage. Notably, the product range of Renault India includes two SUVs like Koleos and Duster, two sedans namely Fluence and Scala and a small car named as Pulse. Three vehicles out this product range exemplify badge engineering. These are Koleos-X Trail, Scala-Sunny and Pulse-Micra. The company is also all set to soon launch a new badge engineered Nissan version of the Duster with a tag name of Terrano.
Earlier, Sahwney had mentioned about aspirations of the company. He said, "We are the fastest growing nameplate in the country with sales of 35,000 units in the second year of operation. We will continue to target doubling the volume year-on-year though the environment in the current year is extremely challenging. The automotive market is down 10% while the MUV/SUV market crashed 18 per cent in July." Sawhney also mentioned that the car company has achieved a higher SUV sales this August against the corresponding time of the previous year. Notably, this is just a month's comparison and though, overall sales in August 2013 had recovered slightly, but nonetheless, ended with a 13 per cent sales deficit as compared to August 2012.
Emphasising on the fact that auto sector contributes to 8-10 per cent of country's GDP, Sawhney expressed concerns that if the government does not intervene to take up adequate measures, the automobile industry would land up in an extreme chaotic situation. He further said, "High interest rate, hardening of fuel prices and volatility in forex has led to people postponing purchase. The government requires measures to revive the market. Society of Indian Automobile Manufacturers' has urged the government to consider a scrap policy to not just decongest roads but put more fuel-efficient and environment-friendly cars on road."
