Nissan-Renault Plans to Launch Six SUVs in India with Rs 5300 Crore Investment
Japanese auto major Nissan, in alliance with Renault, has solidified plans to introduce nearly half a dozen SUVs in India as part of a strategy to triple their sales volumes over the next two years. This move follows the recent announcement of a significant Rs 5300 crore investment in the country.
The first vehicle to launch will be the SUV X-Trail, which will be imported as a completely built unit (CBU). This will be followed by two mid-size SUVs, one a five-seater and the other a seven-seater, targeting competitors like Hyundai Creta, Maruti Suzuki Grand Vitara, and Toyota Hyryder. Notably, India will serve as the sole production hub for half of the five models planned for launch by 2026, which also includes an affordable electric vehicle (EV).
Frank Torres, Divisional Vice President of the AMIEO Region Business Transformation & President of Nissan India Operations, stated, “We are working on introducing new models designed, developed, and manufactured in the country. In line with our global business plan named the ARC, we are set to introduce three new models into the Indian market by 2026. These models will primarily be sold in the domestic market and will also be exported out of the country”.
In the last financial year, Nissan sold approximately 30,000 units in the Indian market. With the imminent deliveries of the SUV X-Trail, the company anticipates higher annual sales, projecting around 35,000 units for the ongoing fiscal year.
Saurabh Vatsa, Managing Director of Nissan Motor India, mentioned that the company has initiated several steps to reboot its operations in India and plans to expand and strengthen its footprint over the next two years. “With the X-Trail, we are relaunching our CBU business. There will be new product interventions in the fast-growing SUV segment, which will help bring in incremental volumes and strengthen the domestic business. Additionally, we are looking at expanding exports”, Vatsa said.
Nissan is also working on expanding the export market for its SUV Magnite, targeting 40 countries by the end of this fiscal year, up from the current 15. The goal is to increase vehicle exports to 100,000 units per annum by 2026.
Torres indicated that studies are underway to determine which vehicles from Nissan’s global portfolio could be introduced in India between 2027 and 2030. Regarding electric cars, Nissan expects 20-25% of its new car sales in India to come from electric vehicles by 2030 and has begun evaluating future product interventions in this segment.
The recent Rs 5300 crore investment is part of Renault-Nissan’s broader business transformation plan. The revitalization of their Indian operations coincides with Nissan and Renault's decision to restructure their equity collaboration, ensuring both firms have equal shareholding. As part of this agreement, the companies have committed to pooling resources for key projects in South America, India, and Europe, focusing on markets, vehicles, and technologies. Additionally, Nissan has committed to investing in Renault’s new battery-electric vehicle unit.
With these strategic moves, Nissan-Renault aims to significantly enhance its presence and competitiveness in the burgeoning Indian automotive market, leveraging new models and expanding exports to drive growth.
