CarBuyersNoteBook

It looks like India will have to wait a little bit longer for the launch of new Renault cars as the French auto manufacturer has announced that they have placed a temporary hold order to launch their cars by 2010 in India. And of course, the reason behind it all is the same, global slowdown as Renault is trying to hold back on investments on assembly line at its Chennai plant.

The company, which had last year announced a Rs 4,500 core investment over a period of seven years to produce four lakh cars annually in an alliance with its Japanese group company Nissan, has now stopped hiring for production activities and is awaiting for market conditions to improve.

“Renault’s investment on production plant in Chennai is being temporarily frozen and what we will miss out is Renault cars coming out in the Indian market by 2010,” a senior Renault India official said.

(Source) The Economic Times