Pune based Bajaj Auto is open to teaming up with other companies if JV partner Renault does not agree to commercial vehicle projects soon, but has not made a decision yet.
“We haven’t reached any conclusion with Renault on that, but are open to an alliance, and if Renault does not want to partner us, it will be a Bajaj project,” said managing director Rajiv Bajaj.
Bajaj and Renault are already in a 50:50 JV with Renault and Alliance partner Nissan Motors for manufacturing a US$2,500 car by 2011.
The company is India’s second largest motorbike maker, and the largest three wheel auto rickshaw manufacturer, and plans to manufacture light trucks in the 1-3 tonne category.
Competition is already heating up in this segment and Tata Motors is leading the pack with its Ace one-tonne truck.
“We don’t have the size, the scale or the reputation to do what global car makers are doing. But our margins are a healthy 14%, which is higher than many others. The car deal with Renault does not preclude us from doing a deal with someone else for commercial vehicles. But from our side, if we do partner with somebody, it will be Renault,” said Bajaj.