Renault May Invest Rs 3,000 Crore To Back New Products In India

French automaker Renault in planning to invest Rs 3,000 crore in India to back development of new products in the Indian market.

By Sukesh

Published: Friday, October 21, 2016, 11:55 [IST]

Renault has recently invested Rs 500 crore into the Indian subsidiary and now the French automaker is considering to invest Rs 2,500 to Rs 3,000 crore over the next four years to support new product launches in the country.

Renault May Invest Rs 3,000 Crore To Back New Products In India

After the success of Renault Kwid in India, the manufacturer is working on an aggressive strategy for the Indian market. It plans to introduce one new product every year.

Renault plans to bring its SUV's, MPV's, sedans and crossovers which are priced below Rs 8 lakh to challenge the dominance of Maruti Suzuki and Hyundai in India.

A large chunk of this investment will be directed towards products and research and development resources as the manufacturing facility is already in place.

With a new CMF-A modular platform, Renault can easily tweak its products to suit different segments. This will be the ideal platform for the Indian market. Renault is looking to bridge the gap between the entry level Kwid and the Duster SUV with more of B-Segment cars under Rs 8 lakh.

A new premium SUV project which is codenamed as HHA is likely to be launched during the 2017 festive season in India, which will be a straight rival to the models such as Mahindra XUV500.

Bernard Cambier, Renault Chairman for the Africa-Middle East-India Region said, "I am fighting for investments and more models. We have a big engineering centre, robust purchasing department, the aim is to work towards more 100 per cent localised Indian models."

The Kwid has helped Renault to break into the top five carmakers list in India. To retain this spot the company also introduced a 1-litre variant of the Kwid. And now with the new CMF-A platform, we can expect more affordable products from Renault in the Indian market.