Renault Holds Car Launch for 2010

The French car manufacturer Renault has planned to put a stop for the investments for the assembly line at its Chennai plant because of the global economic slowdown. This in turn will affect the car launches, the company was planning for India by 2010.

Renault in joint venture with the Japanese car manufacturer Nissan had announced its Rs.4500 Crore investment plan over a period of seven years. The JV aimed to produce four Lakh cars annually, but currently the hiring for the production activities has stopped now.

According to the senior official of Renault India, 'that the freezing of investments is only on the production side and the infrastructure development of the plant is continuing. Already Rs.900 Crore has been invested on the plant by Renault and Nissan together. He further added that with the production on hold, they will miss out their earlier plan of launching Renault cars in the Indian market by 2010'.

Sources: http://blog.carazoo.com/2008/02/car-manufacturers-and-indian-government.html; http://blog.carazoo.com/2007/10/welcome-2010-new-car-from-nissan.html