Wednesday, 19 April 2017

Renault Production In Asia By Model : 2014/15

In the final article in this 2016 series, we look at Asia, not a strong region for Renault. There is only one assembly plant, in Korea. It is the Samsung facility that makes Samsung models as well as some cars for Renault. The location is in Busan and Samsung started making cars there in 1998, with technical assistance from Nissan. Nissan is now in partnership with Renault, so the car company it helped set up is now part owned by Nissan. Ironic.

The financial crisis in Asia at the time soon led Samsung Motors to become a subsidiary of Renault, in the year 2000. It is not easy being a small brand in a market dominated by Hyundai-Kia. By 2012, many staff were going to have to be laid off, but a deal was struck to keep most workers with the company. It involved the Nissan Rogue being assembled there to give the plant sufficient volume to retain the majority of the staff. That model accounted for nearly 60% of total units made in 2016.

1415Model2015%+/-
2014%+/-
41Niss – Rogue117,56557.2%344%
26,47117.3%n/a
12QM5/Koléos28,50313.9%-49%
56,16036.7%9%
33SM5/Lattiude25,85212.6%-19%
31,94120.9%-15%
24SM3/Fluence24,46811.9%-27%
33,56521.9%-15%
55SM7/Talisman8,9684.4%80%
4,9943.3%31%


Other91







Korea Total205,44734%
153,13116%

The only other assembly for Renault in Asia is in India, at a Nissan factory that it now shares with its alliance partner. For the past two years five Renault models have been made at the plant, but with two deleted and two added for 2015.

1415Model2015%+/-
2014%+/-
11Duster22,47741.2%-54%
49,15690.9%28%
-2Kwid18,28233.5%n/a



-3Lodgy11,06720.3%n/a



34Pulse1,9133.5%0%
1,9053.5%-59%
25Scala8251.5%-68%
2,5394.7%-62%
4-Fluence


3380.6%-61%
5-Koléos



1260.2%-48%


Total India54,564
1%
54,064
-33%

Summary: The Asia region is a difficult market for brands from outside the area to succeed in, without investment through local assembly. Tariffs applied to fully assembled vehicles makes that an imperative. Renault is expanding its Asian efforts with a plant that has just opened in China. It may be a late entrant to that country, but is confident it will be a successful venture.

Data source: Renault Group.

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