Renault, Nissan lay foundation stone for India Plant

Expected to begin operations in 2010, the facility will have an annual production capacity of 400,000 units.The 50:50 joint venture between Renault and Nissan to manufacture passenger vehicles, RNAIPL represents an investment of a minimum of Rs 4,500 crore (€780 million / U.S. $1.1 billion) for their Indian initiative.  Furthermore, the plant will cater to supply vehicles for both companies both for the domestic market as well as for exports.

Speaking at the ground breaking ceremony, Shohei Kimura, MD, RNAIPL said, "This is an important day in Chennai for Renault, Nissan, our local employees and the community. The new project is a very tangible result of the strength and success of the Renault-Nissan Alliance, and is a clear indicator of RNAIPL's long-term strategy for this important market."

Renault, already present in the country through their alliance with Mahindra for the Logan, are set to expand their portfolio with the introduction of other cars on the Logan platform. The company also intends on capitalizing on this growing markets by introducing other 'India Specific' models further down the line.

Nissan will produce a family of models based on its new A-platform, including the next generation of Micra. India is one of the five leading competitive countries to produce the new A-platform models. The development of a competitive A-platform is one of several business breakthroughs announced as part of Nissan GT 2012, the company's new five-year business plan.