The small car initiated by the tie-up among Renault-Nissan and Bajaj is to be smaller than Maruti Alto, it is learnt. According to the EVP of Renault the agenda is about the small car lesser in size than Alto in 1.2lit category. The car was under process among these companies to be ready for launch in 2012. The partners have resolved their responsibilities- Bajaj is to take care of design, engineering, sourcing, and manufacturing; Renault-Nissan will look after marketing and selling.
The irony is Bajaj won’t get brand identity. The MD of Bajaj said that there will be common components about 70-80% with Bajaj’s two wheelers and three wheelers. The car materialized after a one year delay due to hassle in the tie-up otherwise set as a competitor for Nano. The association among the companies is on the basis of 50% stake for Bajaj, Renault and Nissan each having 25% and the expected annual production is 4 lakh units.