India seems to be taking centre stage in the Nissan global strategy. Nissan is already marketing its SUV X-Trail and luxury sedan Teana in India. Now it is all set to launch the Murano. Nissan will soon be starting production of this model along with partner Renault in its plant in India.

Nissan and Renault are already set to develop an ultra low-cost car to compete against the Tata Nano. Nissan will be sourcing resources like manpower and raw product material for this project from to develop this low cost car. Mr Carlos Taveras of Nissan said “India will be part of the entry car strategy. We will tap out supplier contacts for resources, but would also source car parts from other countries, if deemed necessary.”

The company has planned a two pronged strategy. Firstly, to develop and manufacture a range of global cars in India, which will be lower in cost and suited to emerging markets across the world. Nissan plans to use low cost resources for this part of the strategy to reduce input costs and have a competitive price tag in the market. Secondly, to release these manufactured cars to the world audience in various markets.

For the entry level car, the company plans to develop and import several models in order to offer a range of vehicles suited to every need. The development of products will also include co-operation with the Indian supply chain and co-ordination with their Indian manufacturer to get an insight of the current and future Indian car scenario. “Each market will be catered according to its specific needs” said Mr Taveras. He said that talks with Bajaj Autos were still on and an announcement will be made soon.

The entry car will be manufactured at the Chennai plant which is being jointly put up with Renault. “The car manufactured in Chennai will be highly sensitive to Indian needs, which will help us target the new market segment with competitive pricing.” he added. The facility will become a hub for both domestic markets and for export. Nissan is still debating importing its high-end luxury brand of Infinity to India.