The pact will be finalized among Renault- Nissan and Bajaj for ULC

Keeping apart all debacles and delays, the trio- Nissan, Renault and Bajaj- have come to a resolve to make the JV for ULC on black and white. The ultra low cost car project gets shape after a 4 month disruptions. Under the pact, as quoted by Nissan’s CEO, Renault-Nissan will look after the sale and marketing of the car which will be designed and manufactured by Bajaj.

The car will be officially launched in 2012 and the trio JV has finalized the proposals suiting the Indian market. if comes to effect, then the proposal will be a fruit of excellence for Bajaj’s two year toil for this small car. The car would be deemed as the cheapest in terms of running cost and it was supposed to have reached the market in 2011. The delay was due to the misunderstanding among the partners regarding the allocation of project. Renault proposed the price of the car to $2500.

The MoU among these companies vindicate that Bajaj would be eligible to hold 50% in the JV for developing the car and Renault-Nissan each would share 25%. The proposed ULC will take off from the Chakan plant at the initial and annual capacity of 4 lakh units. Recently Nissan opened its tenth dealer in addition to its projection of 82 outlets by 2013 to deal its 1 lakh cars a year.

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