Nissan X-Trail's debut by mid-year

AUTO EXPO 2004

Japanese auto major Nissan Motor Company announced it will launch its sports utility vehicle (SUV) 'X-Trail' by mid-2004, with plans to expand business in the coming years based on the market response to this product.

Yasuaki Hashimoto, general manager, Nissan Motor, said at a press conference here that the SUV will be imported in the completely built unit form and is expected to cost around Rs 20 lakh, though he was still not certain about the final tag.

He said that details were still being worked out by the distributors who will import and launch these vehicles in the country.

X-Trail will come in two variants - Elegance and Comfort, and will be fitted with diesel power and manual transmissions. The product was launched in Japan in November 2000.

Hashimoto said he was not authorised to speak on investment plans, but added that a decision on a manufacturing facility will be difficult to take as big investments will be required.

"We will study the market before making any financial commitment," he said.

Nissan said it will set up four dealerships in Chennai, New Delhi, Kolkata and Mumbai for sales and service businesses.

"We are systematically pursuing our vision to establish lasting, profitable growth for Nissan. Step by step, we are making gains. We are delivering on our commitments," he said.

The last time Nissan was in India was in the 1980s when it winded up a joint venture with the Hyderabad-based Allwyn to make light commercial vehicles.

The local SUV market is currently of the size of around 10,000 units a year. Companies such as Maruti Udyog, GM, Hyundai, DaimlerChrysler, and Ford Motor, have already introduced SUVs in the country through the CBU route.

Nissan's entry will increase competition in the segment.