# Exclusive-Renault considers making mass-market EVs in India -sources Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2023-01-06 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Renault Considers Launching Mass-Market Electric Vehicle In India Meta Description: Renault is exploring the possibility of launching a made-in-India electric version of its Kwid hatchback in late 2024, as part of its push into the growing EV URL: https://financedigest.com/exclusive-renault-considers-making-mass-market-evs-in-india-sourceshtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2023-01-06t134656z3lynxmpej050emrtroptp4renault-india-electric-1736814612299-compressed.jpg) By Aditi Shah and Gilles Guillaume NEW DELHI/PARIS (Reuters) – Renault is considering building a [mass-market](https://www.financedigest.com/athletic-footwear-market-is-expected-to-generate-a-revenue-of-usd-193-3-billion-by-2031-globally-at-4-88-cagr-verified-market-research.html) electric vehicle in India, two people with knowledge of the ongoing review told Reuters, as part of a renewed push into a market where EV adoption is expected to grow quickly from a small base. The study by Renault underscores how the French automaker is pushing ahead with electrification plans even as it extends unresolved negotiations with its partner Nissan Motor about investing in an EV unit it plans to carve out from its other operations. It also points to the [shifting perception of the auto market in India](https://www.financedigest.com/walmart-paid-most-of-1-billion-tax-for-phonepe-shifting-base-to-india.html "Walmart paid most of billion tax for PhonePe shifting base to India"), which posted the fastest growth of any major market in 2022. EVs were on track to be less than 1% of car sales last [year but the government](https://www.financedigest.com/2016-must-be-the-year-of-board-level-transparency-and-good-governance.html "2016 must be the year of board level transparency and good governance") has set a target of 30% by 2030 and has had recent success in attracting suppliers for international automakers, with a range of subsidies. [Renault is studying launching a made-in-India electric](https://www.financedigest.com/nissan-says-talks-with-renault-focused-on-better-competing-in-electric-cars.html "Nissan says talks with Renault focused on better competing in electric cars") version of its Kwid hatchback, the people told Reuters. The review will assess potential demand, [pricing and the ability to build](https://www.financedigest.com/oil-prices-ease-on-u-s-inventory-build-china-covid-worries.html "Oil prices ease on U.S. inventory build, China COVID worries") the EV with local components, said one of the people, adding that any launch would be late in 2024. The move is part of a broader plan by Renault to rekindle sales in a country where the carmaker remains profitable despite [selling fewer cars](https://www.financedigest.com/3-tricks-to-get-a-better-price-when-selling-your-car.html "3 Tricks To Get a Better Price When Selling Your Car") in 2022 than a year earlier, the person said. Renault India declined to comment on product plans but said the [company has a “strong focus on electrification globally” as part of the strategy outlined by CEO](https://www.financedigest.com/in-listening-mode-new-bayer-ceo-keeps-open-mind-on-company-split.html "In listening mode, new Bayer CEO keeps ‘open mind’ on company split") Luca de Meo and that “India is one of the key markets” for the group. India is [set to become the world’s](https://www.financedigest.com/uks-most-liveable-city-manchester-sets-its-sights-on-the-world-from-tourists-to-property-investors.html "UK’s most liveable city, Manchester sets its sights on the world, from tourists to property investors") third-largest [market](https://www.financedigest.com/athletic-footwear-market-is-expected-to-generate-a-revenue-of-usd-193-3-billion-by-2031-globally-at-4-88-cagr-verified-market-research.html) for passenger and other light vehicles, displacing Japan, according to a forecast by S&P Global Mobility. Industry-wide sales grew an [estimated 23%](https://www.financedigest.com/urea-market-is-estimated-to-expand-at-a-moderate-cagr-of-2-3-over-the-forecast-period-of-2021-2031.html "Urea Market is estimated to expand at a moderate CAGR of 2.3% over the forecast period of 2021-2031") to 4.4 million vehicles in 2022. That is a contrast to the outlook for the United States, where the [market](https://www.financedigest.com/athletic-footwear-market-is-expected-to-generate-a-revenue-of-usd-193-3-billion-by-2031-globally-at-4-88-cagr-verified-market-research.html) is expected to remain below 2019 levels [next year](https://www.financedigest.com/1-in-10-workers-considering-a-career-change-in-the-next-year.html "1 in 10 workers considering a career change in the next year"), and China, where demand is weakening. Renault had been hoping to reach with Nissan in December on the terms of a carve-out for its EV unit, but [discussions have been slowed over concerns by the Japanese carmaker on a range of issues](https://www.financedigest.com/necessary-lessons-in-debt-six-out-of-ten-brits-wouldnt-feel-comfortable-discussing-any-money-issues-with-their-children.html "Necessary lessons in debt? Six out of ten Brits wouldn’t feel comfortable discussing any money issues with their children"), including protection for its intellectual property. [“India will play an important role in future projects of Renault-Nissan but local plans will not be finalised before a global](https://www.financedigest.com/india-resists-calls-for-more-air-access-in-drive-to-be-global-aviation-force.html "India resists calls for more air access in drive to be global aviation force") deal on a restructuring of the alliance is reached,” said one of the sources. In India, domestic carmaker Tata Motors, which dominates electric [car sales](https://www.financedigest.com/mercedes-posts-rise-in-q1-sales-boosted-by-evs-premium-cars.html "Mercedes posts rise in Q1 sales boosted by EVs, premium cars"), as well as foreign players like Stellantis, Hyundai Motor and SAIC’s MG Motor are lining up EV launches. Renault already produces a version of the Kwid EV in [China which is sold in that market as the City K-ZE and exported](https://www.financedigest.com/dutch-responds-to-us-china-policy-with-a-plan-to-curb-semiconductor-tech-exports.html "Dutch responds to US China policy with a plan to curb semiconductor tech exports") to France as the Dacia Spring. The Spring, the second most sold EV in France in 2022, has a range of 230 kilometres and a starting [price of 20,800 euros](https://www.financedigest.com/carrefour-unveils-30-euro-shopping-basket-in-spain-after-government-price-cut-proposal.html "Carrefour unveils 30 euro shopping basket in Spain after government price cut proposal") ($21,869) before government incentives. To qualify for incentives in India, [Renault would have to build the car at its alliance](https://www.financedigest.com/exclusive-nissan-seeks-tech-tie-up-without-renault-as-alliance-nears-end-of-road.html "Exclusive-Nissan seeks tech tie-up without Renault as alliance nears end of road") plant in southern India and source components locally, the first person said. The [India plant is majority owned by Nissan](https://www.financedigest.com/nissan-renault-to-invest-600-million-to-make-6-new-models-in-india.html "Nissan, Renault to invest 0 million to make 6 new models in India"). Nissan declined to comment. [Renault currently produces](https://www.financedigest.com/nissan-to-cease-producing-cylinder-heads-for-renault-from-2024.html "Nissan to cease producing cylinder heads for Renault from 2024") the Kwid hatchback, Kiger SUV and seven-seater Triber in India. Its [sales fell 9% to around 87,000 units in 2022 and its market share](https://www.financedigest.com/monte-dei-paschi-to-have-underwriting-consortium-for-share-sale-by-tuesday-source.html "Monte dei Paschi to have underwriting consortium for share sale by Tuesday – source") dipped to just over 2%. As a part of the India reboot, Renault also plans to [invest in refurbishing and upgrading some of its major dealerships in big cities](https://www.financedigest.com/investing-in-the-city-thats-investing-in-itself-welcome-to-the-liverpool-of-the-future.html "INVESTING IN THE CITY THAT’S INVESTING IN ITSELF – WELCOME TO THE LIVERPOOL OF THE FUTURE!  "), the person said. The [company said it has 500 sales](https://www.financedigest.com/aragon-the-decentralized-management-platform-for-companies-announces-token-sale.html "ARAGON, THE DECENTRALIZED MANAGEMENT PLATFORM FOR COMPANIES, ANNOUNCES TOKEN SALE ") outlets in India. (Reporting by Aditi Shah; editing by David Evans) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---