Renault-Nissan is launching the Datsun Redi-Go on the Indian market
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Renault-Nissan is launching the Datsun Redi-Go on the Indian market
- Within the Renault-Nissan group, Dacia (Renault subsidiary) and Datsun (Nissan subsidiary) play the role of brands at very low prices. Nevertheless, it is under the Renault brand label that the model Kwid (the cheapest car of the European-Japanese group) has been launched in India.
- The Dacia brand does not indeed exist in this country.
However the Datsun brand exists in India. This brand started production in that country with the GO in March 2014 and GO + in March 2015. These models were at this time among the cheapest cars in the Indian market.
But since September 2015, Renault has offered the Kwid still cheaper than the Datsun GO and GO +. Consequently 58,000 units of the Kwid were sold in India since its launch, while at the same time, only 15 000 units of the GO and GO + were sold...
However the Datsun brand exists in India. This brand started production in that country with the GO in March 2014 and GO + in March 2015. These models were at this time among the cheapest cars in the Indian market.
But since September 2015, Renault has offered the Kwid still cheaper than the Datsun GO and GO +. Consequently 58,000 units of the Kwid were sold in India since its launch, while at the same time, only 15 000 units of the GO and GO + were sold...
- Consequently, Datsun has decided to launch in June 2016 the Redi-Go on the basis of the CMF-A platform and at the dimensions of the Renault Kwid . This model is equipped with the 799cc petrol engine developing 53ch mounted on the Kwid.
Its price is close to the Kwid ‘s one(238 000-334 000 rupees, i.e. 3150-4400 euros depending on the version).
The Redi-GO is produced in the Renault-Nissan Chennai plant alongside the Datsun GO and GO +, the Renault Kwid, Pulse, Scala, Duster, Lodgy, and the Nissan Micra, Sunny, Terrano. Inovevforecasts an annual production volume of 100,000 Redi-GO on the Chennai site because this model matches the demand in the Indian market.
Its price is close to the Kwid ‘s one(238 000-334 000 rupees, i.e. 3150-4400 euros depending on the version).
The Redi-GO is produced in the Renault-Nissan Chennai plant alongside the Datsun GO and GO +, the Renault Kwid, Pulse, Scala, Duster, Lodgy, and the Nissan Micra, Sunny, Terrano. Inovevforecasts an annual production volume of 100,000 Redi-GO on the Chennai site because this model matches the demand in the Indian market.
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Read more... Renault-Nissan is launching the Datsun Redi-Go on the Indian market
The results for the first eight months of the Renault Kwid
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The results for the first eight months of the Renault Kwid
- Renault has sold 58,000 units of the Kwid since its launch in September 2015 , i.e.7500 units per month.
- But orders totaled more than 145,000 units.
On the basis of regularly received orders, Renault plans to produce between 100 000 and 150 000 Kwid per year on the Indian site of Chennai, shared between Renault, Datsun and Nissan.
On the basis of regularly received orders, Renault plans to produce between 100 000 and 150 000 Kwid per year on the Indian site of Chennai, shared between Renault, Datsun and Nissan.
- The Kwid is currently the cheapest Renault model sold in the world, and the manufacturer indicates that this was made possible in particular because the hourly wage cost in India is less than 10% of that charged in France. In addition, 98% of the suppliers for this model are Indian and their prices is aligned with that of the existing workforce at the plant in Chennai.
- For Renault, India is only the first step in the commercial development of Kwid. At the end of 2016, this model will be assembled in Brazil in the group's factory for the local market. Then he will be assembled in 2017 in Iranfor the local market.
- Finally, it should be launched in Europe in 2018 under the Dacia logo in time as an entry level model of the brand. It will come from the Moroccan factory of the group located in Tangier. An assembly in Russia (Moscow) is also planned for local sales only (under the Renault brand). In total, 300,000 Kwid could be assembled each year worldwide from 2020.
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Read more... The results for the first eight months of the Renault Kwid
The gap between PC and LUV sales is growing in the US
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The gap between PC and LUV sales is growing in the US
- A specificity of US market segmentation is that MPVs and SUVs are included in the category of light trucks (light commercial vehicles), conversely to European and Asian markets segmentation which include MPVs and SUVs in the category of passenger cars. If we stick to the classification established in each country, it shows a distortion in sales and production between passenger cars and light trucks in North America (NAFTA) and other regions of the world. It appears indeed an overstatement of the number of commercial vehicles in North America and an underestimation of the number of passenger cars. Until there is no harmonization of the categories in the world, there will always be two distinct classifications.
- For the present analysis, we have used the classification established in North America light trucks = MPVs + SUVs + pick-ups + minivans). It appears then that sales of light trucks increased their lead over the sales of passenger cars in the US, and this since 2014. At the end of the first 2016 semester the light trucks account for 60% of sales in the USA and passenger cars only 40%, whereas it was 50-50 in 2013 and 55-45 in 2015. It can also be noted that in the USA, the less the oil price is, the more light trucks (greedy in fuel) sales increase.
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Read more... The gap between PC and LUV sales is growing in the US
Comparison of the production of Jeep and Land Rover
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Comparison of the production of Jeep and Land Rover
- Two automotive brands have specialized since their creation in the design and manufacture of 4 wheel-drive vehicles:
Jeep and Land Rover, both born in the 40s Initially, their vehicles were very basic, and used primarily by militaries and farmers. But gradually, Jeep and Land Rover proposed in their catalog less basic vehicles for use by the general population.
Jeep and Land Rover, both born in the 40s Initially, their vehicles were very basic, and used primarily by militaries and farmers. But gradually, Jeep and Land Rover proposed in their catalog less basic vehicles for use by the general population.
- In 1962, Jeep put on the market the Wagoneer, added the Cherokee in 1973 and the Grand Cherokee in 1992.
- Land Rover launched the Range Rover in 1970, added the Discovery in 1989 and the Freelander in 1997.
- Jeep hit a sales record of 665,000 units in 2007, while Land Rover sales reached a record of 245,000 units this same year.
The 2008-2009 financial crisis strongly impacted the two manufacturers, but from 2010 Jeep and Land Rover sales restarted vigorously to the point that the two competing brands have again beaten their record sales in 2015, with 1.325 million units for Jeep and 400,000 units for Land Rover.
The 2008-2009 financial crisis strongly impacted the two manufacturers, but from 2010 Jeep and Land Rover sales restarted vigorously to the point that the two competing brands have again beaten their record sales in 2015, with 1.325 million units for Jeep and 400,000 units for Land Rover.
- In meantime the demand for SUVs has increased at an exponential rate throughout the world, and despite the increased competition from other manufacturers, Jeep and Land Rover were able to meet part of the demand.
The two brands together account for nearly 10% of the global SUV market in 2015.
The two brands together account for nearly 10% of the global SUV market in 2015.
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Read more... Comparison of the production of Jeep and Land Rover
Suzuki built a third plant in India
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Suzuki built a third plant in India
- The Suzuki group is the tenth global automaker in 2015, with a volume of 2.8 million vehicles (not including the two-wheelers), thus placing it just behind the PSA group (2.97 million units) and before the BMW group (2.25 million units) and Daimler group (1.99 million units).
- Since 2009, the largest producer of Suzuki models is not Japan, but India.
Similarly, the main market for Suzuki is not Japan but Suzuki India which is the leader both in terms of production and in terms of sales. The manufacturer thus benefits fully from the growth of the Indian market (it grew 95% between 2005 and 2015 while the Japanese market fell by 15% over the same period).
Similarly, the main market for Suzuki is not Japan but Suzuki India which is the leader both in terms of production and in terms of sales. The manufacturer thus benefits fully from the growth of the Indian market (it grew 95% between 2005 and 2015 while the Japanese market fell by 15% over the same period).
- Currently, Suzuki has two very large factories in India, one in Gurgaon and the other in Manesar. Each has a production capacity of 750,000 vehicles per year, i.e. 1.5 million in total, while the production of the manufacturer on these two sites reached for the first time 1.4 million units in 2015. In order to achieve its goal of selling 2 million vehicles in India in 2022, Suzuki has decided to build a third plant in India which will be operational in 2017. The plant, being built in the state of Gujarat (northwest India), will initially have a production capacity of 250,000 vehicles per year. The capacity will be doubled in the medium term.
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