Renault To Buy Out Nissan From RNAIPL JV

Renault has announced that it will purchase Nissan’s 51 per cent stake in the two brands’ alliance in India. Therefore, Renault will become the sole owner of Renault Nissan Automotive India Pvt Ltd (RNAIPL). 

Despite the new agreement between the French and Japanese marque, Nissan will continue producing its current models as well as future models at the RNAIPL plant in Chennai for at least a few years to come. Currently, the plant produces Nissan and Sunny, with the former exclusively produced for export markets. 

The transition of ownership from Nissan to Renault is subject to customary regulatory approvals, and it is expected to be completed by the end of H1 2025. However, Renault Group and Nissan will continue to share their partnership in Renault Nissan Technology & Business Centre India (RNTBCI) where Nissan owns 49 per cent stake and Renault has 51 per cent share. 

However, Nissan said it is not an indication of the brand leaving the country since it had committed to invest more than ₹6,000 crore in India. Furthermore, Nissan is planning to launch four new models by the end of 2026. 

Frank Torres, Divisional Vice President - AMIEO Region Business Transformation & President, Nissan India, told the media at a recent interaction that the reason for the sale of Nissan’s share in RNAIPL is that the brand “has had to find, globally, turnaround measures to enhance efficiency. And this way of selling shares and part of RNAIPL is getting more agile effectiveness to the business, in order that we can respond to changing market conditions and conserve our cash for future investments.”