Fourteen years back, Renault’s Indian arm launched the Duster compact SUV, which led to the emergence of the mid-size SUV category in the country. The nameplate, which had a successful run, was discontinued in 2022. Now with its return, Renault is hoping its fortunes would change in the Indian automotive industry, which is world’s third largest after China and the United States and where the company has seen its market share drop to less than 1 per cent from 3 per cent.
India at the Core
The New Renault Duster is the first product to be launched, under the car maker’s International Game Plan 2027, where it is making India a key pillar of its growth outside Europe. “There has been a delay in launch for a few years. It is because of issues at our corporate in Europe and factors like covid, Ukraine war and semiconductor shortages. Also money was an issue. Once things were fixed and stabilised, we have turned our attention to India,” highlights Venkatram Mamillapalle, Managing Director, Renault India. Close to 90 per cent of the cars elements have been designed specifically for India underpinning the new Renault Group Modular Platform (RGMP).
The price will be announced mid-March and customer deliveries will begin in April 2026. The strong hybrid e-Tech 160 deliveries will commence during Diwali 2026. Mamillapalle asserts that Renault is serious about its India plans, citing that it had acquired Nissan’s 51 per cent stake in their joint plant last year becoming the sole owner. The plant at Oragadam, Chennai has a capacity of 480,000 units per annum and current capacity utilisation is 50 per cent. With the new Duster, it is expected to go up to 70 per cent.
Entering a Crowded Battlefield
Renault faces a challenge of a crowded SUV segment. It has to compete with Hyundai Creta, Tata Sierra, Maruti Suzuki Victoris, among others. “India’s SUV market sold nearly 3 million units in CY25, accounting for almost two-thirds of total domestic passenger vehicle sales. The segment crossed the 50 per cent share mark for the first time in CY22, marking a shift in buyer preference, and has since continued to gain, moving steadily ahead of hatchbacks and sedans that dominated earlier. “Compact and mid-size SUVs continue to account for most of the volume growth, while higher-end variants contribute a larger share of revenues,” points Poonam Upadhyay, Director, Crisil Ratings.
Learning from the past
To address this competition, Duster comes with a maximum warranty of up to 7 years. Mamillapalle dwelled on the learnings from past mistakes. “It is necessary to continuously be in the market, keep doing animation facelifts and renovate.” Renault also looks to export the Duster to Africa and other BRICS countries excluding Russia. SUVs are emerging as the fastest-growing export segment within India’s passenger vehicle market. Their exports stood at around 4.3 lakh units out of total passenger vehicle exports of 8.6 lakh units in CY25, to markets such as Latin America, Africa and parts of Asia.