Carmakers Ride Exports to Drive up Output Chart
Despite small market share here, Renault-Nissan & Ford emerge as country’s 3rd- and 5th-largest car makers
Mumbai: Exports hold the key to Renault-Nissan Alliance having become the country’s third-biggest carmaker and Ford India its fifth-ranked one, testimony to the Centre’s ‘Make in India’ initiative. Both companies have less than 5% share each of the domestic market and are making the most of their manufacturing presence in the country by shipping vehicles overseas, mainly to Europe, Africa and the Middle East.
While Renault-Nissan pipped Mahindra & Mahindra to the third position in 2016 with exports of its Nissan models and solid domestic demand for the Renault Kwid hatchback, US carmaker Ford broke into the top five on demand for its EcoSport SUV.
Renault-Nissan’s production surged over 50% to more than 3 lakh units last year, according to calculations by ET, based on data from the Society of Indian Automobile Manufacturers. A year earlier, it was in fifth position. The Franco-Japanese company’s closest rival, Mahindra & Mahindra, registered a growth of 5% in production.
“For 2017, Renault-Nissan will continue to optimise production operations with focus on Datsun redi-GO and Renault Kwid — currently the bigvolume models in the Indian market,” said Colin MacDonald, MD of RenaultNissan Alliance India Pvt Ltd.