Renault eyes truck alliance with Eicher

After cementing a joint venture between Ashok Leyland and Nissan for light commercial vehicles yesterday, Carlos Ghosn is believed to be in talks with Delhi-based Eicher Motors to mark Renault's entry in the Indian commercial vehicle (CV) market.

Ghosn is CEO of both Nissan and Renault. Renault, which has a shareholding in Nissan, has a sizeable presence in light and medium commercial vehicles internationally and has been eyeing a strategic partnership in India.

Eicher is the country's third largest commercial vehicle manufacturer, but well behind Tata Motors and Ashok Leyland.

If the deal comes through Nissan and Renault would be direct competitors in the Indian CV market through their respective partners.

When contacted, Sylvain Bilaine, managing director, Renault India, said, "I can neither deny nor agree about Renault holding talks with Eicher Motors. We are looking to have a partner for Renault but will not be in a position to make any comment at this stage."

The French company now joins a club of other companies that include Volvo, DaimlerChrysler and the joint venture between entity of Mahindra and Mahindra (M&M) and ITEC to have evinced interest in Eicher.

An Eicher Motors statement said, "Eicher Motors Limited is evaluating opportunities for strategic partnerships, as authorised by its board on July 24, 2007, and is consequently in discussions with various potential partners. However, as of date, we have neither decided on the nature of the strategic partnership nor arrived at an understanding with any party."