Renault Kwid production set to ramp up by 50% to meet ever-growing demands
Renault Kwid has been a blessing in guise for the French auto maker as the latest report of production ramp up denotes the company is in for a tough year ahead. The overwhelming success of the entry-level small car has resulted in Renault increasing the number of units manufactured monthly to around 6,000 as we have reported earlier this month.
It appears that Renault is planning to double that amount to 8000-10,000 units in the next three to six months. Within a month of its launch, since the last week of September, Renault Kwid received about 50,000 orders and it surged to over 75,000 till date according to recent reports.
The decision to almost double the production was taken on the back of Renault’s dedicated assembly facility in Chennai being hugely affected by the incessant rains and flood for about a month. Whilst the normal operations are recovering, the craze towards the budget small car hasn’t dwindled.
Although its main competitors Maruti Suzuki Alto and Hyundai Eon are marching steadily in sales figures, Kwid accounted for 10% share in the entry-level market amidst helping Renault to achieve 144% sales growth in November compared to the same month last year.
An online source suggested that about 10,600 units of Kwid were retailed in its first couple of months but it was too little for a car that’s been quite a revelation in the domestic market and arguably the best product to have been launched this year.
Renault Kwid’s growing band of customers are first-time car seekers who fill up more than a quarter of the entire car market sales. Therefore, the demand for the small isn’t diminishing any soon but the Chennai floods seem to have taken the toll on Renault with the immediate resolution to ramp up production in the next three-six months. Moreover, the waiting period in some cities have sped up to ten months much to the discontent of customers.
Renault joined an array of manufacturers to have announced the price hike of cars across entire model range lately. This meant Renault Kwid will see an increase of prices up to three percent across its four variants starting from January.