Bajaj - Renault - Nissan ULC Car hanging in the balance

The Ultra Low Cost (ULC) car project involving Bajaj and Renault - Nissan has come to a temporary standstill. The problem this time seems to be issues related with the production and branding of the car. The Bajaj and Renault-Nissan ULC car was originally supposed to hit Indian roads this year, followed by a release in International markets, a year later. But, due to delays in the execution of the project plans, the launch dates of the car kept getting pushed. The car is now scheduled for a launch sometime in 2012.

The delays in the implementation of the project plan seem to be the result of the three companies focusing largely on their individual game plans for the Indian market and thereby leading to a delay in the implementation of the ULC"s project plan.

Bajaj Auto will be handling aspects of the car such as its design, engineering, sourcing and manufacturing while the Renault-Nissan alliance will focus on the marketing and selling of the car.

Rajiv Bajaj, Managing Director, Bajaj Auto Limited -

Bajaj Auto has not finalised any production plans as of now, despite the launch of the car being less than two years away

Kiminobu Tokuyama, Managing Director and CEO, Nissan India -

We are to yet finalise production plans of the Ultra Low Cost car. No decision has been taken yet

With two of the three companies involved in the ULC car project stating that the production plans for the car have yet to be finalised, there seems to be no end to the delays that the project has been plagued with. It now seems as if the JV trio of Bajaj, Renault and Nissan will have another announcement of a delay to their ULC car project. Will this car ever see day light?

Source - Business Standard