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Updated: 08/11/2009 | 02:52 PM IST
Renault committed to plans for ultra low-cost car
Press Trust of India
Sunday, November 08, 2009 (New Delhi)
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French carmaker Renault on Sunday said it is committed to bringing in a low-cost small car as the concept is still relevant not only in India, but globally also, despite differences with its partner Bajaj Auto.

Renault has been working with India's second largest two-wheeler maker Bajaj Auto to launch an ultra low-cost car, which was initially tagged to be around $2,500 (about Rs 1 lakh), in the domestic market by 2011 and is, at present, reportedly facing difficulties on host of issues such as branding and price point.

"The entry price point, which will be $2,500 is still very important for the market, not only for India, but also for lot of emerging markets. We have to bring in the car with basic feature, basic functionality at a very affordable price," Renault Chairman and CEO Carlos Ghosn told reporters here on the sidelines of India Economic Summit here.

He, however, declined to comment if the proposed small car would stick to earlier announced price point of $2,500.      "..(whether) it is going to be $2,500 or $2,800 or $3,000 (not sure)... (but) I am stuck into making customers happy and satisfied. But it is not going to be very far of ...," Ghosn said when asked if project is stuck due to differences on the price of the car with Bajaj.

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