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Renault is taking total control of his Indian manufacturing arm. In a strategic movement to solidify its presence in one of the fastest growing car markets in the world, the French car giant announced that it will buy the 51% participation of Nissan in its Indian joint business: Renault Nissan Automotive India Private LTD (RNAIP). The agreement, although not revealed in value, will make Renault the only owner of the Plant based in Chennai, a critical production center for both companies.
The transaction, completed through a sharing purchase agreement, will see Renault Group acquire the total property of RNAIP of its Japanese partner Nissan. Companies will continue to collaborate in existing projects in India through an operating agreement that also describes their future relationship in the country.
Nissan will maintain access to RNAIP for the supply of national and export vehicles in the coming years. The two companies will also retain the joint control of the Renault Nissan Technology & Business Center India (RNTBCI), with Renault having 51% and Nissan the remaining 49%.
Despite the change of property, the Chennai installation will continue to be central to the plans of both car manufacturers. It will continue producing key models of Nissan as the new Nissan Magnite, while supporting the broader objectives of Renault under its ‘International Plan 2027’. The site, which has a production capacity of more than 400,000 units, will organize the launch of the CMF-B platform in 2026, starting with four new Renault models.
Renault also announced that through Ampere, its subsidiary centered on the EV, will develop and manufacture a new segment vehicle A derived from Twingo for Nissan by 2026. While Renault will direct production, the model will be designed by Nissan.
“This project represents a key opportunity for Renault to expand its international business,” said the company, emphasizing Nissan’s continuous approach to increasing its market coverage in India.
The CEO of Renault Group, Luca de Meo, underlined the collaborative spirit behind the agreement: “Pragmatism and business -oriented mentality were at the center of our discussions to identify the most effective ways of supporting their recovery plan while developing commercial opportunities for value creation for Renault Group.”
He added: “India is a key automotive market and Renault Group will establish an industrial footprint and efficient ecosystem.”
After the transaction, RNAIP will consolidate completely in Renault’s finances. The company expects a free cash flow of around € 200 million in 2025, aligning with the maximum investment cycle of the year for new vehicle launches.
The president and incoming CEO of Nissan, Ivan Espinosa, affirmed the continuous commitment of the company: “India will continue to be a center for our research and development, digital and other knowledge services. Our plans for new SUVs in the India market remain intact.”
