Renault-Nissan working on a cheap compact car for India

Renault-Nissan working on a cheap compact car for India

Renault has just launched the much talked about Logan car in the Indian market. The latest news in is that Renault is now working hard with Nissan on an all-new low-cost car for which they plan to partner with an Indian company.

They are likely to partner with a domestic company for developing this car. Renault CEO Carlos Ghosn said in a statement: “We are looking for another low-cost car like Logan, and it would be difficult to build a successful low-cost car without an association with an Indian company. We can gain a lot from their skills in frugal product planning and frugal engineering. The objective is how do we make a low-cost car, and still make a profit.”

They are already working with Mahindra & Mahindra for the Logan. They might form a partnership with them or any other company including Tata Motors, Bajaj Auto for the new model.

The company is also reportedly working on a hatchback version of Logan. Ghosn added on their profitability: “I am told we will break even at a 30,000-32,000 cars. 2007 could be a profitable year.”