Nissan-Renault boss eyes 3,000 dollar car in India

Carlos Ghosn, head of Japan's Nissan Motor Corp. and France's Renault, said Wednesday the automakers were considering launching a low-cost 3,000-dollar car in India.

Ghosn said he saw ready opportunities in India, which is one of the world's fastest growing automobile markets, on the back of a burgeoning middle class.

“We are investigating at the level of the alliance — this is a common work made Renault and Nissan — how can we make a 3,000 dollar car,” Ghosn told reporters after a Nissan shareholders meeting in Yokohama.

“The very likely situation is, if we build a car like this, it will be done in India because the suppliers are there, the plants will be there and the environment in India will be very favourable to a frugal product definition.”

In April, Renault launched an Indian version of its low-cost Logan, with 50,000 cars to be built each year with local partner Mahindra and Mahindra in Nashik near Mumbai.

In November, Renault and Mahindra announced that they wold build a factory together in the southern city of Chennai. Nissan joined the 902 million-dollar project in February, setting up a race with Japanese rivals Toyota and Honda for a slice of the Indian market.

“The battle between car manufacturers is also on affordable cars. Nissan will be part of this competition,” Ghosn said.