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Hi People

Today's morning headlines came as a big shock to me about, Renault pulling out from the Chennai plant being developed for the Ultra Low Cost Car which leaves Nissan in the middle of no where. This headlines also puts a question mark on the Future of Logan in India, perhaps is that reason Logan is being offered with huge discounts???


Source of the Article

DNA: Money: Renault may drive out of Chennai project

"Renault may pull out of a joint factory project in Chennai, India, with Japanese affiliate Nissan. It's possible that we abandon the project completely. It depends on market conditions," chief financial officer Thierry Moulonguet was quoted as saying by a Bloomberg report.

Looking at no.s they are selling it should be a practical step.

OT: The sedan in Xylo ad, which gets crushed with the container, looked like Renault to me :D

Looks like they're going the Peugeot way? Very bad...people wont ever trust the brand again...many people have been hammering away at FIAT...and these guys have stuck to their guns through thick and thin.

I want to see how many people hammer Renault now...

French should learn something from the Italians. As mentioned by another Tbhpian, Fiat has seen the worst times probably. However, I have a strong feeling that it might be only with respect to the Chennai plant and not otherwise.

This is bad news especially for Logan users. Looks like they would go the Peugeot way.

man, this news again confirms my belief in sticking to Indian cars- I have burnt my fingers once with the matiz.

sure Tatas and Mahindras (and to a lesser extent marutis - I know it is Jap, but heck, Maruti is intrinsically Indian fo all intents and purposes) are short in performance and refinement compared to the Japs and the europeans, but then you will not face a situation of them shutting hsop anytime soon, will ya?

also, in the event of a crises, the Govt will step in to bail out domestic auto makers, as happens all over the world, and the domestic market will always be a top priority for these guys. for all others, india is only an export or overseas market and with the exception of Hyundai, not a very significant market in terms of numbers.

sorry for going OT

I believe we have hammered Renault a lot already for overpricing and providing just barebasic equipment. Besides, very few people bought the Logan. Also, it must be remembered, that the Logan was not an object of passion or desirability. The Palio 1.6GTX was. Every enthusiast loved the car and many bought it. What the hell, the Adventure was a superb lifestyle vehicle. In such a case, if a company or its dealers screw up, it hurts far more than what Renault is doing.

This pull out would also leave alot of question unanswered

1) Future of Logan
2) Future of Nissan in India
3) Future of Ultra Low Cost Car in India in another words no competition to NANO
4) Will Mahindra come into pic again with Nissan?

Guys perhaps the real recession has just started

Earlier there was news that they will be introducing face lifted Logan and other models like Megane etc, all shelfed?

AFAIK, Logan is a joint venture by Mahindra and Renault. I don't think it would get affected, cars from Logan platform may continue to get manufactured here by Mahindra which may include even the new proposed hatchback. What gets affected though is the more desirable Renault cars such as Clio, Meganne etc., that they promised to get here.

I think this is just for the JV with Nissan, not the Renault Mahindra JV.

Renault presence in India is limited to flop Logan , what will really hurt is non availability of proposed models like Megane etc. but looking at the financial shape Renault it is important that they focus on their European market.

Yes, this was the big manufacturing JV which was planned for small cars I think. Has nothing to do with Logan.

I hope it happens soon. They had third world attitude for us and I am happy to see that they paid heavy price for it. They took us for granted from day 1. A product, given what it offered, was not worth even a look and here Indigo gave a massive blow to Renault. Renault might be a good name, but India is as usual unique.

A few doubts:
1) As with 309, what will happen to Logan ?
2) What about the investment ? Nissan would enjoy alone and a lot of facalities ?
3) Low cost car. I thought it to be joke. Logan was also a low cost car and we know what it offered. I wonder what Renault's low cost car would be.

In general, I think that Europeans feel they are way superior to us, so they offer their products at a very high price. They still feel they can do anything and impunity prevails. It turned out to be the other way round.

agree: Rightly said. No wonder the cars from Renault are referred to as "Surrender Monkeys" by Jeremy Clarkson in Top Gear:Frustrati