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RENAULT IN INDIA

With an annual growth rate of around 20% in recent years, the Indian car market is one of the most buoyant in the world and is expected to become the fourth biggest within three years. To win its share of the market, Renault has acquired manufacturing facilities with the Renault-Nissan plant in Chennai, its own sales network, a logistics centre, an engineering centre shared with the Alliance and a design centre based in Mumbai

A strongly expanding economy 

India is the world’s 12th biggest economic power. Between 2005 and 2007 it posted steady economic growth of over 9%, and GDP per capita has doubled in the space of ten years.

 

The car market is growing by around 10% a year, attracting the attention of many vehicle manufacturers. India’s middle classes total more than 350 million people, all of whom are potential buyers, and their numbers are continuing to grow.  

 

Suzuki/Maruti is currently No. 1 on the small car market. Honda, GM Chevrolet and Fiat/Tata are building their presence. Renault is moving into position.


After Fluence and Koleos, India welcomes Pulse 

Renault Pulse was specially designed for the Indian market

On March 17, 2011, Renault-Nissan Alliance Chairman and CEO Carlos Ghosn inaugurated Chennai plant with the presence of representatives of state government of Tamil Nadu. The first dedicated Alliance global plant has a production capacity of up to 400,000 units per year. It operates in full compliance with Alliance global manufacturing processes and quality standards. Its production management system, launched for the first time at any plant of Renault and Nissan, is based on mutual knowledge sharing and the best practices from both companies

 

At the AutoExpo 2010 (in New Delhi), Renault announced its will to introduce a full range in India in a 4 years timeframe. Most of these vehicles will be produced in Chennai. Fluence and Koleos models have been launched in 2011. 

 

In October 2011, Pulse, an upscale compact car, has been revealed and is scheduled to go on sale in the beginning of 2012. The car was designed by Renault's Design Center in Mumbai and will be produced in the Alliance's plant in Chennai, which will also manufacture its engine (1.5 dCi, best-in-class for fuel efficiency).

 

Renault Pulse will constitute the core of Renault' product range in India. It will be followed in 2012 by Duster and a sedan.

 

An extensive distribution network through the country will be completed before August 2012. A minimum of 35 cities will be covered (14 were opened as of May 2011). In addition, a Sales & Marketing team was organized within Renault India.

 

These elements demonstrate Renault's ambitious strategy for the indian car market. For the record, Renault entered the Indian market in 2005 when it signed a partnership with Mahindra & Mahindra. In April 2010, this partenership was restructured so M&M is now responsible for the management of the Logan in the Indian market. Renault will continue to support M&M and the product through a License Agreement and supply of key components, including the engine and transmission. 


Design & logistics 

Design center in Mumbai: impetus for creative projects

 

Set up as an observational unit in India in 2005, Renault Design India has played a key role in a number of high-profile projects, including the Logan Steppe concept and R&D into luxury textiles reflecting India’s heritage.

 

In 2008, the unit became a fully fledged design center. It will design vehicles for the Indian and regional markets. Renault Design India thus becomes the first vehicle design center to be set up by a western manufacturer in India. An opportunity for Renault to reinforce its international design network.

 

A logistics platform in Poona

 

Renault opened a logistics site in Poona (Maharashtra) in 2008. This platform turns out components for all Renault-Nissan Alliance production plants. The Poona site contributes to Renault’s international development.


India in brief 

     

    • Capital: New Delhi
    • Area: 3,165,596 km²
    • Population: 1,148 million
    • GDP: US$ 1,170,968 billion
    • Roads: 3,319,644 km

     

    Renault in India, key points (2009):

     

    • A production capacity of 400,000 vehicles/year at Chennai,

    • The Chennai plant represents an investment of 45 billion Rupees ($990 million).


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