Gasgoo.com (Shanghai August 6) - In a recent interview, Renault China Executive President Chen Guozhang revealed that the manufacturer is considering universally extending warrantee coverage for its vehicles, Beijing News reported today. However, Mr. Chen adds that such a policy might boost prices across the board for Chinese Renaults.
In an effort to boost sales, Renault dealerships across the country are offering their own free repair coverage schemes, with the longest offering coverage for up to six years or 120,000 km driven. Mr. Chen confirmed that these policies are drawn up and implemented by individual dealerships. He said that Renault China is currently in the process of discussing whether or not to extend official policies.
Renault China currently offers two main manufacturer warrantee plans: three years or 60,000 km and three years or 100,000 km. The plans are considered average in China. By comparison, Renault offers a five year unlimited mileage plan for Australia. According to Renault China's calculations, to extend a warrantee plan for a vehicle from two years to three would add 5,000 yuan ($792.35) to its total production cost, and to further extend that from three years to four would raise the cost by 8,000 yuan ($1,267). These costs would require Renault to pay even more in customs taxes for its imported vehicles.
