New Delhi, May 12: Country's leading automobile manufacturer Bajaj Auto today said it will form a joint venture company with Renault-Nissan to develop a low-cost car model with a wholesale price range starting from 2,500 dollars.
The new joint-venture company will be 50 per cent owned by Bajaj Auto, 25 per cent by French Group Renault and 25 per cent by Japanese automaker Nissan. ''Targeting the growing Indian vehicle market, the new car code named ULC, will be made at an all-new plant to be constructed in Chakan, Maharashtra,'' a statement said.
The initial planned capacity will be 400,000 units per year and the sales will start in early 2011 in the country, as a primary market, with growth potential in other emerging markets around the world. The feasibility has already extended into Joint Product Development and the project is on line to meet targeted performance and cost, the statement added.