Renault boss plans to undercut Nano

13th November 2009

So far, the closest rival to Tata’s ultra-cheap Nano city car has been a motorbike. But not for long! Renault and Nissan are set to team up with Indian budget vehicle specialist Bajaj to produce a £1,300 model of their own.

The model is already in the design phase, and is due on sale in 2012, according to Renault-Nissan boss Carlos Ghosn. What’s more, he reckons the firms can build the car for less than Tata.

Although the design, engineering and construction will be handled by Bajaj – which is more famous for powered rickshaws – the finished car will be branded a Renault, Nissan or both. The product is expected to match the rear-engined Nano in size, with promised fuel economy of more than 50mpg.

Renault has also confirmed that the electric cars it debuted at September’s Frankfurt Motor Show will all go into production. First off the line at its Spanish factory will be the tiny Twizy 1+1, which is due to appear in dealers in 2011.

The same year, the Kangoo Z.E. and Fluence will arrive – these are built in Maubeurge, France, and Bursa, Turkey, respectively. And the Zoe Z.E. supermini will be assembled in Flins, near Paris, ahead of its showroom debut in 2012.

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