Renault to decide on small car with Bajaj in 6 weeks, to invest $1 bn in new plant
French car maker Renault will take a decision on a possible small car project with India's Bajaj Auto within six weeks, a company official said on Thursday.
"We are presently doing a feasibility study on the proposed project with Bajaj. We hope we will complete it in one-and-half months," Sylvain Bilaine, managing director of Renault India, told reporters.
Bajaj Auto said on Tuesday it plans to launch a low-cost small car in 2-4 years, and it hoped to do so in an alliance with Renault and Japan's Nissan.
Renault also plans to invest Rs 4000 crore ($1 billion) to set up a new plant near the southern Indian city of Chennai, the company said in a statement on Thursday.
The new unit will produce 400,000 cars, both Renault and Nissan models, annually, the statement released at an auto show in the Indian capital said. The company plans to employ 4,000 people by 2010 in the new unit.
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