Renault’s reset may get FTA boost
On the day the much-awaited India–EU FTA firmed up, Fabrice Cambolive, chief growth officer of the Renault Group and CEO of Renault brand, told TOI: “An FTA between Europe and India can be a real win-win.
It opens up two-way trade in vehicles and parts, and with our strong European base and growing Indian footprint, we are well positioned to benefit.”Cambolive, who was in India to unveil the company’s new Duster SUV—what the company describes as one of the biggest launches ever undertaken by any automotive company in the world—said the share of exports in India’s current car production will rise from the present 20% once the agreement becomes operational.
Greater clarity on taxation trajectories and implementation timelines, however, is still awaited.As the French carmaker hopes to resurrect its sales and market share in India to 3–5% by 2030—down from around 3% earlier to less than 1% now—the most tangible early gains from the FTA are expected to come from auto components rather than finished vehicle imports.
“The agreement will sharply improve the competitiveness of Indian-made components in Europe,” said Venkatram Mamillapalle, managing director of Renault India.He added that every OEM, whether selling high-end or mass-market vehicles, will benefit, as cars manufactured in Europe will increasingly use auto components made in India.Meanwhile, Renault already produces several powertrain components in-house, creating a pathway for boosting component exports once duties are cut.Cambolive pointed out that, going forward, hybrid technology, advanced connectivity, expanded engine options, and alternative fuels—including CNG—will form the backbone of Renault’s India portfolio.
