“The (Renault) takeover will bring our plant in Chennai to peak operational levels,” said Venkatram Mamillapalle, in an exclusive conversation with CNBC-TV18, responding to a question about capacity utilisation targets.
Renault’s facility near Chennai, which has a production capacity of 480,000 units and was developed as part of the Renault-Nissan Common Module Family, has previously faced scrutiny over suboptimal utilisation levels.
However, with a five-car launch pipeline set for India by 2027 and the anticipated acquisition of Nissan’s stake in the plant, the French carmaker sees a clear opportunity to maximise its manufacturing potential.
“As things stand, the launch of our five products will enhance production by 50 percent, and I’m confident we can achieve full operational capacity in Chennai by 2030,” Venkatram added.
The five upcoming models include Renault’s B-Plus and C-segment SUVs, marking a significant expansion into new segments in the Indian market.
“Until now, we’ve been focused on the sub-4-metre SUV segment. We’re now entering the 4.3-metre and 4.6-metre categories,” Venkatram explained. “In terms of pricing, we’ve operated in the sub-₹10-lakh segment, but we’re now making a foray into a category that’s nearly double that.”
Beyond the new launches, it is Venkatram’s projection of complete capacity utilisation by 2030 that is likely to generate considerable industry interest, especially as it follows what Renault hopes will be an accelerated pace of growth in India compared to previous years.
The company aims to support this momentum with the launch of a new design centre in Chennai – Renault’s largest outside Europe – thereby integrating its design, engineering, and manufacturing capabilities within a single city.
Venkatram emphasised the strategic importance of the timing, as Renault India looks to scale its Total Industry Volume (TIV). “India is set to outpace global markets in growth. We’re currently at 4.3 million TIV, and we expect that figure to rise to 10 million soon,” he said.
“To meet our short-term targets of 6 million TIV by 2030 and 8 million by 2032, we need a complete OEM structure, fully utilised plant volumes, and we must move swiftly,” he added. “Designing these vehicles in India allows us to reduce the design-to-manufacturing-localisation cycle to just about 100 weeks.”
Renault’s enhanced design capabilities in India are also expected to improve efficiency, particularly in terms of access to talent, time zone advantages, and geographic location. “Design work can continue here while the rest of the world is asleep,” Venkatram concluded.
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