• The Renault Nissan alliance is going to develop, manufacture, sell and export six brand new vehicles in India, of which four will be SUVs and two ‘A segment EVs.
  • To execute this, the alliance will invest $600 million or Rs 5,300 crore in the country and generate employment for more than 2,000 people.
  • This investment will be for the first six cars and some money will go into the modernisation of plant.

    Ashwani Gupta, COO of Nissan Motor Corporation, announced that the Renault Nissan alliance is writing the next chapter of its alliance in India. The alliance will invest $600 million or Rs 5,300 crore in the country and generate employment for more than 2,000 people. They will develop, manufacture, sell and export six brand new vehicles in India, of which four will be SUVs and two ‘A segment EVs. The plan is to also make the Orgadam manufacturing facility on the outskirts of Chennai completely based on renewable energy by 2045. Gupta addressed media persons and spoke about future plans and the importance of this investment. He also highlighted the potential for both brands to grow in the growing Indian market. The key point for Renault Nissan is to be competitive in the market. They have signed an MoU with the state and central government to make sure their battery electric cars are localised and competitive. They have already made some investment in product study and modernisation of existing plants to do these six products. They are keeping Indian operations autonomous and the R&D centre in India will support Renault Nissan’s global R&D efforts. In line with the global capital restructuring, they will be redefining the capital structure between Renault Nissan. Renault Nissan Alliance is now 51% Nissan, 30% Renault and 49% Renault. The first product will be out in 2025 and the investment will be for the first six cars and some money will go into the modernisation of the plant. The investment will be mainly for product, with the Chennai plant already having significant capacity. The target is to use the capacity which we have installed using local as well exports volumes. The brand is more driven by customer experience and not common architecture alone, as demonstrated with Magnite, which has a 1-1.5% market share. Nissan’s global electrification strategy is driven by each individual region’s needs, such as customer, infrastructure and government support. In Europe, 20% of the market is BEV, while in Japan, hybrids are dominating. In China, things are moving towards battery electric. In India, the internal combustion engine is the main powertrain, but the government policies are supporting BEV. Nissan believes that Battery Electric Vehicle will be a key strategic Pillar for India electrification growth and not the hybrid. Renault Nissan Alliance to invest Rs 5,300 crore in India, plans six new models including 2 EVs.