Renault takes its "no-frills" auto to global market
Staff -- Manufacturing Business Technology, 8/1/2004 6:00:00 AM
Renaultis aggressively pursuing the low-cost auto market in underdeveloped parts of the world with its "design-to-costs" approach to engineering the new X90 series sedan. The no-frills car—due out this year—makes use of proven components and materials for making a five-passenger car priced at $5,000 euro. The car will be sold in 30 countries.
The first in the X90 series is the Logan, made in Romania, with expansion to follow in Russia and Morocco in 2005. The series eventually will include other models targeted for easy manufacture on four continents.
The design emphasizes stylish yet simple lines, and use of locally sourced steel. Body panels are sized for manageable manual assembly with straightforward welding done by trained workers rather than robots. The Logan will share components common to other Renault and Nissan platforms—including steering wheels, instrumentation, handles, and switches—to reduce production and aftermarket service costs. New computerized design methods also are reducing costs and allowing for virtual prototype testing.
The Logan will come without power steering, antilock brakes, power windows, or air conditioning. Radios are optional. Buyers will have the choice of a 1.4- or 1.6-liter gasoline engine. Part of the strategy includes wooing Asian drivers away from popular minicars, and exporting more fully-optioned models to the European market to tap buyers motivated largely by cost.
According to an announcement released by Renault on June 28, Renault and Dongfeng Motor Co. (DFC) will begin joint production in 2006, targeting a production rate of 300,000 vehicles a year in two stages.
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