Renault targets doubling China sales on new models

Bloomberg News - Renault SA forecasts that it will double sales in China this year as the French carmaker adds new models and introduces customer-retention programs.

Renault will add seven new or upgraded cars to its product line for the mainland this year, Robert Chan, managing director of the automaker's China operations, told reporters today in Shanghai, where Renault opened a parts warehouse with Nissan Motor Co. New models will include the Latitude and Fluence sedans, two Scenic models, the Megane convertible and the Laguna Coupe sports car.

The company is also working on "long-term customer relationship development," Chan said, with incentives such as three years of free maintenance.

Renault is trying to increase its presence in China as a growing economy drives demand in the world's biggest auto market. Vehicle sales rose 32 percent last year after China's government offered tax breaks and subsidies for fuel-efficient models to boost demand. Renault, which sold 14,705 cars in China last year, has no manufacturing capacity in the country and has said it's seeking an opportunity to make its first factory investment with a local partner.

The automaker is also looking to increase its number of dealerships in China to 80, mostly in less developed cities outside of Shanghai, Beijing and Guangzhou, Chan said. Renault had 49 authorized dealers in China at the end of last year, the carmaker said in a statement today. Chan declined to comment on talks with possible Chinese partners.

Renault, based in Boulogne Billancourt near Paris, owns 43 percent of Yokohama, Japan-based Nissan.