After a million meetings between the partners, the duo/trio has come to a decision on the Ultra-Low Cost car (ULC) which was showcased a year back. Renault/Nissan’s boss Carlos Ghosn said to the press that they have come to a decision on the project after talks with Bajaj but a formal written agreement has not been signed yet.
From what Ghosn said, it looks like Bajaj who is the brains behind the cheap sourcing of raw material and cost effective design of the car won’t be getting its badge on the car. According to the deal struck Renault/Nissan would take care of branding, marketing and sales. Rajiv Bajaj was not present during the Ghosn speech and was out of contact to get a quick comment.
Carlos Ghosn’s punch lines from the Press meet:
“I am sure that the cost of the car will be lower than any car made in India”.
“There would be no Bajaj name on the badge of the car,”
“We have a clear strategy now on who does what,”
“As per the verbal agreement between both the companies, the design, engineering, sourcing and manufacturing of the proposed car will be handled by Bajaj Auto, while its branding, marketing and selling will be done by the Renault-Nissan,”
“We are looking at low cost frugal manufacturing, but the price of the car would be determined by the competition prevailing in the market,”
