Renault is on refining spree

After much fuss over refining the Logan, Renault has come forward to meet the specifications preferred by M&M. To save any sort of rift between the two companies now Renault has agreed to consider the options meted out by Logan in the shape of the car. The length will be reduced to avail the 10%duty relief from the government. Renault is now breaking its rigidity and ensured the outcome of refined version and the steps are being taken to analyse the reduction of the length of the car by 4 metre from the existing 4.2 metere.

If it happens then it may come near anywhere to Maruti Swift D’zire, Tata Indigo and Ford Ikon on price range. Other discrepancy is the wiper placed on the wrong side for the right hand drive which is also to be set right. With these changes, Renault has been on the sale target of 15000 units for 2010-11 against 5981 in the duration of April-February 2010.

The announcement about the revamp is likely to be made by the CEO of Renault Carlos who is to visit India soon. He expressed the concern over the low sale of Logan and hinted at the possible discussion over the refining of the car. He assured that all efforts will be made to retain the car with the JV from M&M. the earlier version about the low sale of Logan was that M&M was reluctant to sell it on price factor and the reposition was an another one. Once the decision is made then the car will see the production in the Chennai facility of Renault-Nissan and not under M&M JV.

Renault-Mahindra rift patched up says its CEO

The prolonged rift between Renault and M&M over Logan is getting a smooth patch up, said the CEO of Renault. M&M is in the JV between Renault on 49% and 51% share and is undergoing a tough phase in selling Logan in the Indian market. during the period of April-February 2009 M&M could muster a sale of just 4981 units indicating a down fall of 60.03% against the sale in2008.

M&M has been insisting on refining the car to suit the Indian reliefs, Renault is quite rigid on its plan. now Renault is gradually releasing its foothold and has started to discuss about the revamping measures. Renault CEO is upset over the ongoings like sale of Logan in India but is firm in continued sale of it. He assured the back up of Renault in this regard and allayed the fears over the rift in JV.

Renault-Nissan to continue with multi-partner strategy for India

Despite the furore over the strained relationship among the partners in JV Renault-Nissan is set to go ahead with the pact. Renault owns 44% in Nissan JV and it has some other pacts in India- with M&M for its Logan, with Bajaj for a proposed new small car and with Ashok Leyland for LCVs, powertrains, R&D and a prospective small car. In addition it is in JV with Hover Automotive for marketing. Following the dip in sale of Logan, Renault had a second thought over partners for Indian business.

But the CEO said there will be no disturbances in the existing JVs but will continue to have varied business with different partners. The proposed small car project with Bajaj- Nissan alliance will materialize, he added. Renault is deeply mulled over the poor show of Logan in India through M&M. now the position is to regain its form and popularity he said. The current sale volume of Logan in India is just 400 units a month. With the final decision yet to be arrived on this Logan, steps are taken for reviving the car with disposition.

The JV with Ashok Leyland will bring out two products of which one will be from Ashok Leyland from the Chennai plant before 2012. The other would be from Nissan plant in Oragadam near Chennai which will roll out the production of Micra from this May. The initial production capacity of this plant will be 2 lakh cars and by the time it reached full capacity, (in 2015) it will be 4 lakhs. 50% this 4 lakh units would be allocated for export, he said. He asserted that Micra will be unique in offering features that are worth noting and that too at low price.

Nissan-Leyland car to target the mass market.

The JV between Nissan and Leyland is targeted at the mass market, says a release. The car will be between the range of Micra and above the low cost one from Renault-Bajaj-Nissan trio. The CEO of Nissan disclosed that there will be more ranges in the models below Micra to be produced at Chennai plant. Micra may cost Rs4-Rs5 lakh and such segment dominate the Indian car industry, nearly two million units. Of late there has been no such model in Nissan-Renault JV and hence the one proposed by the trio.

The developing countries see a potential growth in small car and India seems to get the status of global hub for Nissan small cars. And more specific is that there would be no meddling in the product design among the JVs that Nissan has involved. Nissan has chalked out its JV strategy for each pact with Renault-Bajaj and another with Ashok Leyland. The next 10 years would see the growth of car industry in India by 5 million of which three million will be contributed by some other makers. Nissan’s Chennai plant will be equipped to deliver 2 lakh cars a year by 2012 and 50% of it will be for export. This would be increased to 4 lakhs by 2015.

Mitsubishi on revival phase

To adduce its presence in the Indian car market, Mitsubishi is devising its strategy to introduce new models and refining of existing ones. As a result, there will be Lancer Evo X and two SUVs Pajero Sport and 2010 Outlander. The existing Lancer will be replaced with a new one and there will be new small car in few more years. Also in the list is the global Electric small car MiEV by 2014-15. The Head (Marketing) Hindustan-Mitsubishi said the company is aggressively slating the strategy to revamp the editions.

The New 2010 Outlander will be equipped with sport look and a 2.4lit engine at Rs19.95 lakh. Lancer Evo X GST will follow this and this will have 290bhp power emitted from 2.0 lit turbo charged petrol engine. This will be deemed as the most powerful sedan at Rs40 lakhs and will come with only automatic transmission. Pajero Sport with twin engine versions of 2.5 lit and 3.2 lit diesel at Rs20.69 lakhs will hit the news in September 2010. Pajero is set to meet the Euro IV norms and it will roll on till the new Lancer reached the show rooms. Hindustan Motors is a firm owned by A.K.Birla group and both are in the car market for more than 12 years.

The new Lancer is currently sold in Japan and the US and it will be rolled down in India by 18 months. In India, the old Lancer is on sale in Kerala and Punjab only at a cost of Rs12 lakhs for petrol variant and Rs15 lakh for diesel variant. This is expected to counter the likes of Honda Civic, Toyota Corolla Altis and the Chevrolet Cruze. However, the existing model costs between Rs7.13 – Rs8.11 lakhs. The company is exploring the possibilities of launching small cars to meet the Indian needs. The fuss is on the price in the small car market but the electric MiEV may fill in this category.

Mitsubishi faced a dip in sale in 2009 but the last few months are promising a growth of 8% in SUV segment. The company’s range in India includes Lancer, Lancer Cedia sedans, Montero, Outlander and Pajero SUVs. The sale of the conservative Ambassador saw a growth of 13% at 9374 units. All the future dealings will include expansion of networks with 52 dealers across the country. Currently there are 33 dealers and in future there will be 57 service stations from the current 37.

Renault Nissan inaugurated Chennai plant today

Renault Nissan the best automotive bomber launched its Chennai plant today. Renault Nissan phased out its Chennai plant with an investment of Rs 4500 crore. This pinnacle has been achieved by entering into an industry first strategic alliance with a French and Japanese company

Based on the domestic market need Nissan will export 50% of cars from the Oragadam plant. Initially this plant would roll out 200,000 cars by 2012 and 400,000 cars by 2015, mostly tailored for Indian needs.

Force Motors to launch an SUV

You read it first at vicky.in

You heard it right! Force Motors is planning to launch an SUV in India. Force Motors earlier known as Bajaj tempo limited is well known for its mass commuter vehciles like Tempo traveller and Trax. Now Force Motors is eyeing a share on burgeoning SUV market. Other than Bolero, there is no true SUV which caters to the needs of rural segment. Force Motors SUV would be powerful developing 135bhp of maximum power (approximately). This engine is derivative of the same engine which powers Tempo traveller. Remember, Force Motors sourced an engine from Mercedes and uses the same in multiple vehicles. Force Motors is currently testing the SUV and it may be priced little above Rs10lakhs. Stay tuned to get more updates on Force Motors new SUV.

Vibgyor Vehicles widens with its second Production Plant in Dankuni

Vibgyor Vehicles, the prestigious Kolkata-centered Vibgyor Allied Industries Ltd has plans to establish another manufacturing unit for two wheelers in West Bengal’s Dankuni.

The present Dhulagori plant near Howrah dishes out 15000 units per month. The second plant will be operational from June, 2010. Vibgyor Vehicles shall invest an additional Rs. 100 crore in both the manufacturing plants. In future, an assembly plant in Maharashtra is also under pipeline.

Vibgyor Vehicles (VVehicles) debut product Gallop, a 100cc motorbike, priced at an ultra-low Rs.30,000 was launched recently. The 125cc Hunter, costing about Rs.44,000 and 150cc Shark costing Rs.51,000(ex-showroom Mumbai) were also showcased in the Delhi Auto Expo.

VVehicles, the youngest Indian automobile manufacturer, have also scheduled successive launches of 200cc motorbike for niche performers and a scooter for the masses.

With a motto of serving the society with sophisticated products and services at most affordable prices, VVehicles may get a significant pie of two-wheeler purchasers in the booming auto market.

Nano, may no longer be One Lakh

The One lakh car need not be One Lakh anymore. Yes, with the increase in steel prices as high as 25% in April 2009, 2% excise duty on cars, 2% price hike on tyres, and increasing labor costs, all are pricking the price tag of Nano.

Although, Tata was reluctant to announce the newer prices of Tata Nano, the situations around, obviously infers that except the lucky first 1,00,000 owners who booked Nano, attracted solely because of Tata and the 1,00,000 rupees price, all others who shall book later this year , might need to shell out an additional Rs.30,000, applicable for all the three, Base, CX and LX versions.

What Nano had done more than its boastful ultra low price is the platform it has created in global automobile industries for low cost middle-class targeted cars. A notable point at this juncture is that out of every 1000 people in India, less than 10 people have a four-wheeler, promising a fantastic future for small cars in home land.

Maruti Suzuki has plans to launch Cervo, a new car competing Nano. French car Maker, Renault in collaboration with Nissan, a Japanese firm, together with Bajaj, Indian second largest two wheeler manufacturer shall project another low cost car in 2012.

Global No.1 Toyota, Ford and Honda all have futuristic visions for making motor cars for the masses. India, being a favourable land for exports as well, is a boon to all the auto manufacturers, to produce the cars in a comparatively lower cost here and ship them worldwide.

Tata Nano, stands out of crowded hatch backs in Indian soil with a large gap in terms of pricing, by a large Rs. 1,00,000 of Nano’s base version against its nearest rivals Maruti Omni (Rs.2,00,000) and Maruti 800(2,10,000) base version.

M&M eyes Sonalika’s car & tractor biz

M&M woos to get hold of Sonlika, a Rs5000 crore business, to widen its prospects in tractor sector. Sonalika is in a pact with the UK based engine maker MG Rover. M&M, once gets this deal done, may see its own car manufacturing plant there. M&M is in this move, following a clumsy picture about is tie up with Renault for Logan. M&M is fully concentrating on this tractor sector, more than the car segment. But no official word about such move from Sonalika, as indicated by its Chairman. He rejected the information as a speculative story.

The Chairman’s recent visit to the Himachal Pradesh unit is just to evaluate the unit and the discussion about M&M is on the manufacture of cars. But no decision is taken at any stage. Sonalika group is an amalgamated group of International Cars &Motors, International Tractors and a separate agriculture venture. A proposal for making a next generation SUV with MG Rover engine is mooted by the group. Currently the company is in the market with its MUV Rhino Rx in India and some global markets.