Renault to Double Its Export From India by 2020

French car manufacturer; Renault is hoping to support its domestic suppliers through extensive slowdown in the automotive industry. The company is planning to double its component export capacity from India by the year 2020. 

Must Read: Maruti Suzuki Reduces Production For The 8th Month

Highlights

• Renault exports major components like engine parts, plastic and body parts to countries such as Russia, Brazil, Romania, Columbia, Argentina, and Morocco. As per Mr Venkatraman Mamillapalle CEO, Renault India said that as of now the company is exporting 10,000 units of Kwid to South Africa per annum.
• The company also aims to double its sales and services in the country in order to support new products for its existing customers. “We do export a lot of parts, which in-term generates revenue of €198 million in parts which get exported globally per annum and this is indeed going to double by the second half of 2020. Adding further, They (suppliers) might see a lot of decline in volumes (domestic market) but they are not impacted as exports have picked up more and thanks to the devaluation of the rupee, which means better revenues as you get paid in euros,” Mamillapalle said.
• The automaker known for the Renault Duster and the Renault Kwid models is also planning to launch 3 new models, which includes an electric vehicle, by 2022 in line with its mid-term plan to double its market share in the country by the second half of 2020.
• Renault India already has a market share which is close to 4% in the passenger vehicle segment Elaborating further Mamillapalle quoted ‘the company is getting into an “attack mode” to garner market share.
• Renault currently has around 320 dealerships in India. The company is also planning to have around 700 strong sales network across the country by 2022.