As per a news source, Renault is looking at India to build a mass market for electric vehicles. This is part of a renewed push in a market where EV adoption will grow rapidly from a small base.
Renault’s study demonstrates how the French automaker is moving ahead with electrification plans, even as it continues unresolved negotiations with Nissan Motor about investing in an EV unit that it will separate from its other operations.
This also points out the changing perception of India’s auto market, which saw the fastest growth in any major market in 2022. While EVs were expected to account for less than 1% in car sales last year, the government has set a goal of 30% by 2030. It has also had success in attracting suppliers for foreign automakers with a variety of subsidies.
According to the source, Renault is looking at launching an electric version of its Kwid hatchback in India.
One person said that the review will evaluate potential demand, pricing, and the ability of building the EV with local components. He added that any launch would take place in 2024.
Renault’s plan to revive sales in the country is part of a larger strategy, according to the person. The carmaker continues to be profitable even though it sold fewer cars last year than it did in 2022.
Renault India declined to comment about product plans, but stated that the company’s strategy outlined CEO Luca de Meo as having a “strong focus” on electrification worldwide and that India is “one of the key markets”.
According to S&P Global Mobility, India will soon be the third-largest market for passenger vehicles and light trucks, surpassing Japan. The industry-wide sales increased by 23% to 4.4 Million vehicles in 2022.
One source said that India will play an important part in future Renault-Nissan projects, but that local plans won’t be finalized until a global agreement on the restructuring of the alliance has been reached.