It is already known that French automaker Renault is busy developing a Kwid based low cost electric vehicle, which is first going to hit the Chinese market, and is expected to get officially introduced by the end of the current year. Renault has already mentioned that the company will be introducing the Kwid EV to other markets as well, and it might be coming to India, depending on the market situation. As per the latest reports, Renault has joined hands with the Indian company Rico Motors, which is an automobile component manufacturer. Renault has tied up with Rico Motors in order to source electric motors as well as transmission units. This news of Renault’s partnership with the Indian auto components maker suggests that the French car maker is planning to introduce the Renault EV in the Indian car market as well.
Renault has been seriously considering India as the global development hub for its upcoming electric vehicles and it is also planning to carry out the R&D of its new EVs for the global markets. The company has also started making the preparations for the same purpose that are in process in Chennai.
While speaking on the development, the Chief Executive Officer at Renault, Carlos Ghosn had earlier said that if the electric version of the Kwid receives good market response in China, then the company will be more than willing to introduce the EV model in the developing markets which includes the car markets of Brazil and India. As the Renault Kwid is already an established name in the Indian market, it will be easier for the company to offer the EV version of the car here. Moreover, as the Kwid that sells in India is based on the versatile CMF-A or Common Module Family Architecture platform of the company, Renault will be able to integrate an electric powertrain more easily in the vehicle.
Renault’s decision of sourcing components from a local Indian manufacturer Rico Motors signifies the fact that the French auto maker wants to locally manufacture its electric vehicles in India. Renault is also expecting to increase the localization of its electric vehicles in India in order to make the most from the FAME scheme as well as the ‘Make in India’ policy if it actually starts manufacturing its EV models in the country. The Indian government is increasing the cess and duty charges for imported cars and imported auto components, while on the other hand decreasing the cess on the fully locally manufactured vehicles or those with high localization rates. Thus, the Indian government is pushing the car makers to manufacture cars in the country with maximum localization rates.
Going by this, if Renault can manage high levels of localization for its EV models in India, then the company will be able to price the EVs more affordably, which is so important for the cost conscious Indian buyers to adopt EVs. It is hoped that Renault will manufacture its EVs in India, and we will get an efficient and green Renault Kwid EV soon in our market.