France-based automobile manufacturer Renault and Japan-headquartered Nissan on Monday committed investments of $600 million (around Rs 5,300 crore) in the country 15 years after foraying into the Tamil Nadu automobile industry.
"From their base in Chennai, the companies will collaborate on six new production vehicles for domestic and international customers, including two new fully electric vehicles, uplifting the Renault-Nissan centre into an international export hub," the two companies said in a joint statement on Monday.
The six new models will comprise of three for each company, engineered and built in Chennai. They will be built on common Alliance platforms while retaining the individual, distinctive styling of the respective brands.
These models will include four new C-segment SUVs and two new A-segment electric vehicles.
The electric vehicles will be the first EVs for both Renault and Nissan in India.
The six new models that the company will manufacture at the plant will not only be aimed at Indian customers but will also signal a significant increase in exports from India, boosting plant utilisation to 80 per cent and securing many thousands of jobs at the RNAIPL plant in Chennai for many years to come, according to the statement.
Currently, both automakers produce four models at the Chennai plant located at Oragadam, about 45 kilometres from Tamil Nadu's capital city.
"An initial investment of around $600 million/ Rs 5,300 crore is planned to support the new projects, which will see an up to 2,000 additional new jobs created at the Renault Nissan Technology & Business Centre in Chennai," the statement said.
The Renault-Nissan manufacturing facility would also become 100 per cent carbon neutral by 2045 with use of renewal energy.