16 August 2016

Renault Production In Asia By Model : 2014/15

In the final article in this 2016 series, we look at Asia, not a strong region for Renault. There is only one assembly plant, in Korea. It is the Samsung facility that makes Samsung models as well as some cars for Renault. The location is in Busan and Samsung started making cars there in 1998, with technical assistance from Nissan. Nissan is now in partnership with Renault, so the car company it helped set up is now part owned by Nissan. Ironic.

The financial crisis in Asia at the time soon led Samsung Motors to become a subsidiary of Renault, in the year 2000. It is not easy being a small brand in a market dominated by Hyundai-Kia. By 2012, many staff were going to have to be laid off, but a deal was struck to keep most workers with the company. It involved the Nissan Rogue being assembled there to give the plant sufficient volume to retain the majority of the staff. That model accounted for nearly 60% of total units made in 2016.

14 15 Model 2015 % +/-
2014 % +/-
4 1 Niss – Rogue 117,565 57.2% 344%
26,471 17.3% n/a
1 2 QM5/Koléos 28,503 13.9% -49%
56,160 36.7% 9%
3 3 SM5/Lattiude 25,852 12.6% -19%
31,941 20.9% -15%
2 4 SM3/Fluence 24,468 11.9% -27%
33,565 21.9% -15%
5 5 SM7/Talisman 8,968 4.4% 80%
4,994 3.3% 31%


Other 91







Korea Total 205,447 34%
153,131 16%

The only other assembly for Renault in Asia is in India, at a Nissan factory that it now shares with its alliance partner. For the past two years five Renault models have been made at the plant, but with two deleted and two added for 2015.

14 15 Model 2015 % +/-
2014 % +/-
1 1 Duster 22,477 41.2% -54%
49,156 90.9% 28%
- 2 Kwid 18,282 33.5% n/a



- 3 Lodgy 11,067 20.3% n/a



3 4 Pulse 1,913 3.5% 0%
1,905 3.5% -59%
2 5 Scala 825 1.5% -68%
2,539 4.7% -62%
4 - Fluence


338 0.6% -61%
5 - Koléos



126 0.2% -48%


Total India 54,564
1%
54,064
-33%

Summary: The Asia region is a difficult market for brands from outside the area to succeed in, without investment through local assembly. Tariffs applied to fully assembled vehicles makes that an imperative. Renault is expanding its Asian efforts with a plant that has just opened in China. It may be a late entrant to that country, but is confident it will be a successful venture.

Data source: Renault Group.

4 comments:

Aero said...

I'm not sure how significant this may be, but Renault also has a small operation here in Malaysia, together with Tan Chong Motor (who also assemble Nissan, Mitsubishi and Subaru cars).

Currently, only the Fluence is assembled at a plant in Kuala Lumpur from imported CKD packs (unsure from where, but I'm guessing either Korea or Turkey). Previously, the Renault Kangoo was also assembled here back in 2004.

I enjoy reading all your production reports. Learn something new every time. Cheers !

RayCee Smith said...

Hello Aero. Thanks for the comment and expression of appreciation. I try to be informative and a little different.

As for the Malaysian assembly, it may have insufficient local content to be counted as a Malaysian assembled car. Renault release this data and would put the production figure with the country that provides the highest content for the car.

The local Malaysian information you provided is appreciated. I read somewhere that Renault assembled 376 cars in Malaysia in 2015.

Aero said...

Hi Mr. Smith, many thanks for taking the time to reply, I appreciate it ! And no worries, you're most welcome.

Your explanation makes perfect sense, I hadn't thought of local content being a factor. I'm pretty sure the local content in the Malaysian-assembled Fluence is minimal too, because it isn't exported to other ASEAN countries (like the Subaru XV).

On another note, I must say, your publications are invaluable, and I've cited several of them as references (with attribution, of course) on some automotive-related Wikipedia articles. Many thanks for providing and maintaining the resources on your most excellent website. Needless to say, I've been checking in daily for many months now ! Cheers

RayCee Smith said...

Thank you Aero.