Renault readying Maruti Alto rival

Renault India has established itself fairly well in the Indian market. However, the brand’s success hinges around just one product — the Duster SUV. The company plans to get a stronger foothold in the market by introducing a low-cost hatchback. But to compete with Maruti, the product will have to be nothing less than a game changer. 

 

Codenamed XBA, the hatchback will be based on the company’s highly flexible CMFA platform, and will compete head on with the Alto 800. However, the big differentiator is expected to be the styling, which, according to sources, will be more of a crossover than a compact hatch. This will also give the car sufficient wheel travel, making it suitable for our less than ideal roads. The brainchild behind this project is Gérard Detourbet, better known as the father of the M0 platform — Renault’s most profitable platform  that has spawned models like the Duster. In fact, Renault has so much faith in Detourbet that the company has pulled the 68-year-old out of retirement to head this project. 

 

The XBA is expected to be high on space efficiency, and will feature a robust and very stiff bodyshell. Company insiders say they have learnt that the budget Renault will not compromise much on quality, and will show no obvious signs of cost-cutting, like you normally see on low-cost cars. However, the talking point of the XBA is  the engine. Codenamed BR-8, the motor is an all-new 800cc, three-cylinder unit, and will make its debut in this car. It will feature a twin-cam, four-valves-per-cylinder setup, making it quite a sophisticated piece  of hardware. So clearly, Renault is not stinting on the powertrain. Moreover, fuel consumption is expected to be class-leading as well. 

 

 

The big news though is that it will also come with the option of an automated manual transmission (AMT), pitting it directly against the new AMT-fitted Alto K10. So, Renault will clearly be watching the customer’s response to the K10 AMT over the coming months. Additionally, future engine options could include a  more powerful 1.0-litre motor (codename: BR10). However, the option of a diesel engine has been  ruled out for two reasons. Firstly, the engine bay is designed to accommodate just the BR series of small motors. And secondly,  while a three-cylinder  motor was in the pipeline, Renault has shelved the plans as future regulations could lead to diesel losing its cost advantage.

 

Further, the XBA platform will spawn a new line of small cars ranging from 3.4 to 4.0 metres in length with multiple wheelbases. Speaking to us, Executive Vice President and Chief Performance Officer for Renault, Jerome Stoll  said, “For me, the Indian market is a priority for  the CMFA platform.”  Additionally, the XBA hatchback will be the first  in a series of derivatives which could include a compact sedan and a proper crossover on the CMFA platform. The low-cost XBA hatchback is expected to be priced at around Rs 3 lakh, and should be in showrooms by mid-2015. This will also give the company enough time to ramp up its dealerships dramatically. 

 

“In the next 2-3 years, we want to cross a five percent-plus market share, for which we need the right products. We have two big launches planned for next year, for which we need a strong dealer network, which we are working on,” said Sumit Sawhney, CEO and MD Renault India.

 

Renault will be banking heavily on the XBA to reach its targets, but there’s the small problem of Maruti. The country’s low-cost car kingpin has a vice-like grip on the segment, and Renault’s XBA will have to be nothing short of a game changer to squeeze its way past Maruti’s grip.