- Renault-Nissan have formed a JV with Jinbei Brilliance to develop LCVs in China.
- It is yet not known if RNA will re-enter the segment with a local partner.
- The Renault-Nissan alliance has already started developing platforms for LCVs for the Indian market.
- The LCV segment has grown 19.46 percent in FY 2019.
- Currently, the segment is primarily dominated by Ashok Leyland, Mahindra and Tata Motors.
Renault Nissan is planning to re-enter the light commercial vehicle (LCV) segment, reports in media suggest. An official announcement may soon be released by the Renault-Nissan alliance regarding the same. The company has already started developing platforms for India-bound LCVs, officials close to the development at the Renault-Nissan alliance have revealed.
It is reported that the alliance recently formed a joint venture with Jinbei Brilliance to develop LCVs for the Chinese market, which seemed to receive a good response there. However, it is not known yet if Renault-Nissan Alliance will form a joint venture with a local partner and which brand (Renault or Nissan) will take the lead.
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The Indian commercial vehicle segment has grown prominently in the past few years thanks to rapid increase in construction of highways and increase in development projects. This has eventually led to a sharp rise in the demand of LCVs in the country with 616,579 units sold in FY 2019 witnessing growth of 19.46 percent opposed to the corresponding year.
Nissan had earlier entered the light commercial vehicle segment in a joined venture with Ashok Leyland eight years ago which was dissolved following a legal battle in 2016. Led by Ashok Leyland, the first product launched under the JV was Ashok Leyland Dost followed by Ashok Leyland Stile and Nissan Evalia. While Stile and Evalia were discontinued, Ashok Leyland took custody of Dost after it severed ties with Nissan. Currently, the LCV segment is primarily dominated by Ashok Leyland, Mahindra and Tata Motors. India’s leading passenger car vehicle manufacturer, Maruti Suzuki India has also entered the exponentially growing CV segment. It currently sells a single product, Carry which accounts for 4.23 per cent of the LCV space.