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Nissan-Renault building small car for India

Section Investment Pune
Posted on Wed Jan 17, 2007 at 11:21:40 PM EST

Japenese car maker Nissan is co-developing a new small car platform for developing markets along with its alliance partner Renault, joining a growing list of global car makers seeking to exploit India's strengths in the volume car business.

This new platform is specially targeted at emerging markets like India and Russia and comes as further validation of India's emerging status as a global small car hub.

Sources close to the development have indicated that Nissan and Renault are working on a small car, most likely a B segment hatchback, which is expected to be one of Nissan's flagship models in India. Further details about the new platform were not available.
People close to Nissan say that India may become an important manufacturing hub for the new small car as Nissan is known to be targeting big volumes in its India facility.

Easy availability of finance, increased salaries, higher proportion of double income households, a higher propensity to spend and little improvement in public transportation have led to a boom in India's mini and compact car segments.

Accounting for over 75% of passenger car sales last year, the small car segment is poised for a major expansion with a slew of new models waiting to hit the market in the next two years.

The compact car roster currently includes Volkswagen which is putting up a greenfield plant in Pune to manufacture a derivative of its Polo model and General Motors which has already rolled out the Aveo U-VA in the hot hatch segment and is working on the Chevrolet Spark to target the mainstream small car segment.

http://auto.indiatimes.com/articleshow/1265155.cms

< Marathi Manus Kalmadi | Symantec GSR Lab in Pune >
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