What are the key learnings from the past? Duster was a pioneer of modern SUVs in India. You discontinued it and have now brought it back. What are the lessons?
There might be two lessons. If Renault localizes in India with our strong assets and capabilities and technology focused on customer value, we can succeed in this market. During the past years, our organization was too much scattered. That is why India for India for me is important. I appointed a single CEO in charge of the entire value chain with a strong Indian executive team. They are one team and completely focused. They have full dedication to deliver product at the speed India wants for Indian people and accountability. This is the main change when compared to the past where we lost some momentum in this market.
What are your views on the potential for the re-launched Duster?
I am very humble about the Indian market. My feeling is that each new generation of customers will look for a bigger car. So, Renault too has a potential in sub-compacts … to have the Duster … well known but, of course, I am thinking about a bigger car to keep the loyalty and the renewal of our customers. Yes, it’s considered in our plan. I cannot disclose any more.
How will India-EU FTA benefit Renault?
In our plan, we do not export cars from Europe to India. May be, we could do a few cars to enhance the brand. But this is not our strategy. Our strategy is India for India and strong localization. Export from India to Europe cars … it is not in my plan. I am cautious about exporting cars because, you know, there’s geopolitics. Our objective is to reach two billion euros annually in exports by 2030. There are a lot of technologies and components. For example, what the team here will do in terms of connectivity on board very quickly. I have the opportunity to export this to South America because it is the same Renault Group Modular Platform (RGMP) platform and I can upgrade in a speedy and competitive way these types of technologies because here in India, you have the best and strongest demand in terms of value. This is the plan.
Are you a little late in realizing the India potential?
Yes. I think we lost momentum. It’s a fact. And, it’s why we have to be very humble, especially very humble towards our customer. The Indian market will represent 40 per cent of the growth of the worldwide total industry volume (TIV) where Renault operates. That means worldwide TIV minus the US, Europe and China. In this market, India will represent 40 per cent of the growth. We express our growth. We do it locally with a fully dedicated team. There is no reason not to do it. And again, I don’t want to beat the leaders in this market. I want to have a sustainable, long-term growth, and as we release today, I think, by 2030, India could be among the top three markets for Renault worldwide. My strategic target in this market is to reach five per cent market share as soon as possible. But I don’t push the team to do it in two years or four years. But this is the vision.
Renault taken full ownership of the Chennai plant. What is the current capacity? Will you look for partners?
FutuREady India is standalone plant. Our current capacity is 500,000. It is important to be focused on our plan, where we made clear decisions and set priorities. My priority in India is to deliver India for India for the Renault brand.
What is your focus on the export front?
I am cautious of car exports. In the wake of global uncertainty, I have no intention to export from India to Europe. I focus more on technologies. I have 6,000 engineers here. We were nowhere in terms of exporting components from India compared with some of my competitors. Again, I take the example of the connectivity that we will do here in India for India. This connectivity will be at top level for a lot of markets. The same platform – LGM P – I have this platform in Argentina, Columbia and Brazil. So, the “India for India” will give a big competitiveness to the Renault group beyond India, and it is what is behind the 2 billion euros’ export target.