While Renault had high hopes for the launch of the Kwid in Latin America, the French manufacturer had some failures in ignition in Brazil. Sold in India for two years, this little car with very low costs had been launched in Brazil last September at a price of 30,000 to 40,000 reals (between 8,000 and 10,000 euros). But after a bumpy start, the group had to recall the vehicles already delivered, due to problems in braking systems and fuel hoses. Technical problems that caused delays and delayed the planned launch in Argentina.
Launch in Argentina suspended
Announced mid-November, this recall concerned, according to the local press, more than 20,000 units. “These are things that are happening on new models,” says Thierry Koskas, sales manager of the Renault group. “The problem has been well identified, and its resolution is underway. Deliveries have been delayed, but we continue to take orders, “says the manager. The planned launch in Argentina, where the Kwid was presented at the end of November, has nonetheless been suspended. The small crossover is assembled in the Renault plant in Curitiba, in southern Brazil.
Sales in Brazil, where Kwid figured on the hit charts in early fall, had started well. “We have recorded 30,000 orders, well beyond our goal,” says Thierry Koskas. Even if they do not communicate on their objectives, the Renault managers had hinted that they would be satisfied with annual sales of 130,000 units in Latin America at a cruising speed. It remains to be seen whether these setbacks will weigh on the final orders.
Strong strategic axis
In total, Renault sold 124,800 Kwid last year, against 111,700 in 2016. It is that at the same time, sales in India have “slightly decreased,” says Thierry Koskas. “In 2016, we achieved a record year, linked to the very significant novelty effect in this country”. This small low cost crossover is an important issue for Renault , which has made its range “Global Access” (low-cost) a strong strategic focus: the manufacturer began to work on an electric version of the Kwid for China (for 2019), and could even eventually deploy it in Europe.