Renault To Launch A Very Cheap Mini-Logan
|   Wednesday, February 19, 2014
The Renault company will present during Auto Show in New Delhi this month the concept of a small car. The French manufacturer will produce from 2015 a very cheap model. Developed and manufactured in India, the car will have a price of about 5,000 euros.

The new concept is designed to prepare the public opinion before production starts in 2015. It is a simple and very inexpensive vehicle, bearing the hallmark of Renault-Nisssan. The project is currently developed in the utmost secrecy, writes LaTribune.
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In July last year, Renault CEO Carlos Ghosn acknowledged that, for emerging markets, the alliance will create new cars on a specific platform named CMF-A, a platform drafted in 2012 by the Renault-Nissan Technology Business Centre, the engineering center of the automobile manufacturer, based in south India.

Refusing to go into details, Ghosn was pleased to announce that, at the right time, the alliance will provide a wide range of bodyworks at "extremely competitive prices." The small sedan will be manufactured in India at the Renault-Nissan plant owned in Chennai. This "mini-Logan" will be designed, in the first phase, for Asian market customers in mind. Subsequently, the production will be expanded in Brazil.

The newspaper cited writes that, despite the refusal of Renault to confirm the information obtained from media sources, it is quite certain that the car (the size of the Renault Twingo, but totally different from the European Twingo) will arrive on the old continent too. Here's how, after the low-cost Logan, the Renault has decided to fully exploit the cheap cars segment.

The Chennai factory was opened in 2010. The Renault Pulse, Duster and Scala, as well as the Nissan Micra and Sunny models are manufactured out there. In fact, the latter were used as the basis in creating the Renault Pulse and Scala models, as well as the Evalia. The factory, ultra-modern and extremely flexible, represented an investment of approximately one billion dollars (780 million euros) between 2008 and 2015. The factory has its own workshops for pressing, bodywork, paint, plastics, gaskets and chassis, and two test tracks.

The factory can produce up to eight varieties of body on four different platforms. The annual production capacity is 400,000 vehicles per year.
Today, Renault produces its models in the "Entry" range in Romania, where the Pitesti factory is working at full capacity, Moscow and Togliatti (Russia), Curitiba (Brazil), Chennai (India). Renault opened in early 2012 a giant factory in Tanger, Morocco. After the Logan (sedan, wagon, van, pick-up), Sandero (Logan restyled five-door) and Duster 4x4, the best-selling model Renault has, the Lodgy MPV came (the only model in the range, which did not have success) and the Dokker van.
The models have a simple architecture, with fewer parts than a competitor of the same size, are lighter and have a few variants. Here, everything is very well thought out, with nothing superfluous about them. In addition the cars are all produced in countries where labor force is cheap.

"Hourly cost difference between Romania and France 1-7," said Arnaud Deboeuf. In Morocco, "the difference compared to France is 1-10". Very simple and that is why the success is expected to continue.
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