Bajaj to launch Renault Car

Bajaj Auto will show prototypes of its Ultra Low-Cost (ULC) car – which will compete with Tata Nano – to its partner Renault this year. Bajaj Auto Managing Director Rajiv Bajaj said, “We are dead serious about the car project. Sometime later this year, in fact in a matter of months, we will be able to show Renault the prototypes.” There are speculations that the ULC Car will hit the market in 2012.

Bajaj claims that its 4-wheeler will have a targeted mileage of 30 kmpl and the emissions will be in double digits, say, 80 0r 90 grams of Co2 per kilometre (Indian standards set Co2 emissions at 150 grams per km). Compared to that, the Tata Nano releases 110 grams of Co2 per km. Related: Bajaj-Renault ULC price to be Rs 1.1 lakh

Bajaj India signed an equal partnership of 50:50 with Renault Nissan in 2008. Bajaj would handle the design, engineering, sourcing and management entirely while Renault-Nissan would come into the picture for marketing and selling the ULC car.

The ULC car is being developed by Bajaj’s R&D engineers and will be shown to Renault for a final call. If the car matches its expectations, Renault will step in to decide on the sales and distribution of the car. However, if for some reason Renault doesn’t like the ULC prototypes, Bajaj Auto would still have the option to sell the 4-wheeler on its own.