Reports on Bloomberg newspaper suggest that the Renault-Nissan alliance will develop an all new low cost SUV for emerging markets. The SUV, likely to be based on Nissan’s famed V-Platform will be targeted specially at the BRIC countries and is expected to hit the market in 2013. The rumoured SUV will be a little smaller than the radical Juke and could be built at the Alliance’s plant in Oragadam as the supplier network is well established thus contributing to low costs through high levels of localisation.
With three years of development, the SUV is expected to be 30% cheaper than conventional SUVs. Of late, we had the Premier Rio followed by Mahindra’s under development mini-SUV and now, the Renault-Nissan alliance has also joined the bandwagon. This would be the fourth model on the V-Platform if launched and if they get the price right (read around Rs 6 lakhs), then the alliance definitely have a winner on their hands. The battle for the SUV segment has just begun.