Renault-Nissan commit Rs 5,300 crore investments in TN, to roll out 6 new models including EVs

(Source: Reuters)

France-based automobile manufacturer Renault and Japan-headquartered Nissan on Monday committed investments of USD 600 million (around Rs 5,300 crore) in the country 15 years after foraying into the Tamil Nadu automobile industry.

The fresh round of investments would witness roll out of six new models between the two companies including -- two electric vehicles -- representing the two global brands, Nissan Global chief operating officer and Member, Alliance Board Ashwani Gupta said here.

"The upcoming rollouts which consist of four new C-segment SUVs as well as two new A-segment electric vehicles for both Renault and Nissan in India, said Gupta.

Currently, both the auto makers produce four models at the Chennai plant located at Oragadam about 45 kms from here.  Gupta clarified that the investments will not be made for enhancing the capacities of Nissan’s and Renault’s assembly lines.

“The 600 million dollar-investment will be for largely for products. The Chennai plant is already having a great capacity. It's 49% utilized today (and) with these products, we will be reaching up to 80% of production capacity utilization for local as well as for export needs. Having said that, when we will talk about battery electric (vehicles), this plant will need some investment in the modernization," added Gupta.

According to Gupta, the Renault-Nissan manufacturing facility would also become 100 per cent carbon neutral by 2025 with use of renewal energy.

The investments would see creation of 2,000 new jobs at the Renault Nissan Research and Development and Business Centre Centre located at Mahindra Research City in Singaperumalkoil.

Gupta, in the presence of Chief Minister M K Stalin, Renault India Country CEO Venkatram Mamillapallee exchanged memorandum of understanding with Tamil Nadu government promoted nodal agency Guidance Bureau MD and CEO Vishnu Venugopal at an event here. (With inputs from PTI)