CHENNAI: Chennai is all set to be a key global asset for the Renault-Nissan Alliance, as it plans to launch four new Sport Utility Vehicles (SUVs) from the plant in Oragadam with a focus on localisation and enhancement of new technologies such as autonomous driving, connectivity and electrification for global markets.
Makoto Uchida, president and chief executive officer of Nissan Motor said that both Renault and Nissan will unveil a five-seater and a seven-seater SUV soon, but did not provide a time frame. These models will be will be heavily localised, he added. Currently, the Oragadam plant, which has been successfully implementing the ‘Make in India’ programme, produces 90% of the components that go in the cars. The plant has produced 2.7 million cars, of which 1.2 million have already been exported to more than 100 destinations.
“Our teams are working to introduce vehicles compatible with Compressed Natural Gas (CNG) and ethanol,” said Uchida, who shared the dias with Jean-Dominique Senard, the Renault-Nissan Alliance chairman and Luca de Meo, CEO of Renault Group, on the 25th anniversary of the alliance in India on March 27.
“India will be a hub for exports as all the creative knowhow is available here,” said Uchida. Meo stated that, however the alliance is at a low point in India, facing a lot of competition from local carmakers and the emphasis is on localisation to compete in the domestic market.
The plant at Oragadam, Chennai, operating in two shifts, has the capacity to produce 480 cars per day. Currently, the plant is producing 178 cars a day, half of which is exported. The entire manufacturing of a car consists of 44 processes and all of it is done within the plant. Components sourced from Europe are costlier, but when they are produced locally, it cuts expenses by more than 50%, says Ashish Shukla, director of vehicle production.
In addition to our focus on technology, we are working on reducing our carbon footprint, our water usage and increasing the use of renewable energy, Senard said.