The failure from the partnership between your two auto titans Bajaj and Renault has not discouraged Bajaj Auto Ltd to supply Renault with affordable cars. Mr Rajiv Bajaj, the Controlling Director of Bajaj Auto pointed out that because of the variations within their profile, Bajaj would remain as the one which produces original tools.
Bajaj is among the leading two-wheeler producers and presently stands at second devote the manufacturing of motorcycles. The venture with Renault is a welcome change for Bajaj because it would have the ability to increase its share of the market and widen the bottom of two and three wheelers.
The partnership between Renault and Nissan Motor Co. together with Bajaj was began in order to counter the brand new launch of Tata Motors’ Nano by which Bajaj might have a stake of fiftyPercent. Its new model might have an expense of roughly $3,000, which wouldn’t happen to be the least expensive vehicle around but would have a person demand.
To unveil this vehicle, Bajaj intends to invest around 5 billion Indian rupees and hang in the plant in Pune. The guarana plant is anticipated to unveil its first vehicle this year. Bajaj is extremely tolerant of their head to this sector and it is searching to produce a strong subscriber base because of its new four wheeler vehicle. It may be a new comer to the 4 wheeler automobile sector, however it is not not really prepared for that challenge, and it is connection to Renault-Nissan will end up being beneficial for this.
Bajaj has believed that building this vehicle would cost its clients an approximately Rs. 5000 monthly compared to Rs. 3000 monthly within the situation of two wheelers.
Renault and Nissan are actually creating a factory in Chennai as well as their new model ‘Fluence’ is anticipated to become released by This summer and also the other model ‘Koleos’ through the finish of 2013.