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Business News/ Industry / Manufacturing/  50,000 Renault Kwid cars to be recalled
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50,000 Renault Kwid cars to be recalled

Renault is likely to recall at least 50,000 units of the Kwid model manufactured between September 2015 and 18 May 2016 to rectify a faulty fuel hose clip

Renault’s recall will apply to 800cc variants of Kwid produced between September 2015 and 18 May 2016.Premium
Renault’s recall will apply to 800cc variants of Kwid produced between September 2015 and 18 May 2016.

New Delhi: Renault India Pvt. Ltd, the Indian unit of the French car maker, is likely to recall at least 50,000 units of the Kwid model to rectify a faulty fuel hose clip.

The number of cars that may be recalled is based on the total units of Kwid cars manufactured between its launch in September 2015 and 18 May 2016. The firm has not disclosed the number of cars it plans to recall.

Sumit Sawhney, managing director of Renault India, did not respond to phone calls.

Kwid is India’s fastest growing small-car brand and it has positioned Renault strongly in the segment.

There could be a possible disruption in fuel supply in 800cc models produced before 18 May, the firm said in a statement on its website.

“As a proactive measure, a fuel hose clip will be added to these select cars along with the evaluation of overall functionality of the fuel system to mitigate any potential disruption of fuel supply," it said.

Owing to its SUV-like looks and a high level of localization (98% of its components are made in India) that brought down the cost of spare parts to at least 17% lower than those of India’s best-selling small car, the Maruti Alto, the French firm has sold more than 97,000 Kwids in 13 months and commands a 4.5% share of the world’s fastest growing car market.

Renault’s sister concern Nissan India Motor Pvt. Ltd also recalled 932 units of the Datsun redi-Go. Nissan, too, will inspect the fuel hose and fix a clip at no cost to the customer.

Both the Kwid and the redi-Go are based on the CMF-A platform, which has been jointly developed by the Renault-Nissan Alliance. These vehicles are built at the alliance’s joint manufacturing facility in Chennai.

Vehicle recalls are a sensitive subject in India, with sharply divided camps and opinions. Some argue that a mandatory policy on vehicle recalls with provisions for penalties will make the industry more accountable.

Others, usually auto industry executives, argue that recalls should be independent of any policy intervention that could hurt investor confidence.

More than 2.4 million cars have been recalled in India in the last four years. India’s auto makers have started to recall vehicles more frequently after the country’s auto lobby group Society of Indian Automobile Manufacturers adopted a voluntary code on vehicle recalls in 2012. Rising customer awareness over global recalls has also played a part.

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Published: 12 Oct 2016, 03:31 PM IST
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