Renault redirects attention towards manufacturing automobiles in India
In a significant move, French automaker Renault has taken full ownership of its Chennai plant in India, marking a commitment to the country as a strategic hub for production, supply chain, and exports. The plant, which has been operational since 2010, has produced over 2.8 million vehicles to date.
The Chennai plant will be the manufacturing base for the first of four planned Indian-built models: the new facelifted Renault Triber. This 7-seat people carrier is set to be the first of many new models to be produced at the plant, as Renault aims to expand its vehicle market in India.
Stephane Deblaise, a seasoned Renault executive, has been appointed as the new CEO for Renault's operations in India. Deblaise, who joined Renault in 2000 as an advanced process engineer, has worked in various engineering roles at Renault's strategic manufacturing hubs in Latin America, China, and elsewhere. His role is to drive an expansion in sales following the acquisitions and plant setup.
The acquisition of Renault Nissan Automotive India Private Ltd (RNAIPL) was completed in March 2025, giving Renault full control of the Chennai manufacturing facility, which has a capacity of 400,000 units and aims to increase utilization from 50% to 80%. To achieve this, Renault has invested $600 million to modernize the RNAIPL plant for producing competitive compact and mid-sized SUVs on upgraded CMF-A, CMF-A+, and future CMF-B platforms.
Renault's growth strategy in India focuses on full operational control, expanding production capacity, localization of sourcing, new product launches, and leveraging India as a global hub for design and exports. To this end, Renault aims to double parts sourcing volume from India to about ₹400 million (~₹4,055 crore) over five years, strengthening its global supply chain and local supplier ecosystem.
In the coming two years, Renault plans to launch four new products in India, including the updated Renault Triber, targeting compact MPV and SUV segments to boost domestic sales and optimize factory utilization. The company will continue to collaborate with Nissan on these projects, avoiding reliance on contract manufacturing.
India's young consumer base and manufacturing capabilities will be leveraged not only for domestic growth but also for global exports. The Chennai plant is currently dedicated to the production of models underpinned by Renault's CMF-A and CMF-A+ platforms, and it will soon host Renault's new flexible, multi-energy modular platform, supporting the production of Renault's future models.
Francois Provost, the new group CEO of Renault, stated that India is a key market for Renault Group. Under Deblaise's leadership, Renault aims to strengthen its sales in India and expand exports to other markets including Africa and Asia. The company's strategy reflects a comprehensive growth blueprint aiming to scale production, cut costs, deepen localization, enhance portfolio offerings, and leverage India’s manufacturing capabilities for both domestic growth and global exports.
[1] Renault Press Release, March 2025 [2] Economic Times, June 2023 [3] Autocar India, July 2023 [4] Renault India Website, Accessed August 2023 [5] Renault Group Annual Report 2022-2023
- The acquisition of Renault Nissan Automotive India Private Ltd has given Renault full control of the Chennai manufacturing facility, which is a strategic hub for vehicle production and serves as a base for manufacturing new models like the Renault Triber.
- To expand its vehicle market in India, Renault has appointed Stephane Deblaise as the new CEO for its operations in the country, who will drive an expansion in sales following the acquisitions and plant setup.
- The transformation and modernization of the RNAIPL plant for producing competitive compact and mid-sized SUVs on upgraded CMF-A, CMF-A+, and future CMF-B platforms is expected to be funded by an investment of $600 million, demonstrating their commitment to the finance aspect of the automotive industry and transportation development.