Slow sales: Renault stops production of Pulse, Scala for several months

French carmaker Renault has stopped production of its small car Pulse and entry sedan Scala on slow sales.

The Scala has not been made since 183 cars were produced in May 2014, and the Pulse last saw production of 59 cars in October 2014, according to data by the Society of Indian Automobile Manufacturers (Siam).

However, Renault may not be planning to phase out the models yet. Industry sources told Business Standard the models were seeing an inventory correction, with plans to launch facelifts in a few months. Slow sales have led to a stock pile-up at dealers and at the factory.

Responding to queries over email, a Renault spokesperson said, “The production numbers do not reflect our strategy. Both Scala and Pulse will continue to be in our portfolio.”

The Pulse and Scala are re-badged versions of Renault’s Japanese alliance partner Nissan’s products. The former is a premium version of the Micra, while the latter is a reworked version of the Sunny. The Micra and Sunny saw facelifts in 2013 and 2014, respectively.

Gaurav Vangaal, senior analyst for light vehicle forecasting at IHS Automotive said, “Response to some Renault cars in India has been challenging last year, but they have enough new and facelifted vehicles in their kitty to increase footfalls in showrooms.”

In April-January 2014-15, the Pulse has seen sales volumes drop 53 per cent to 1,646 cars even as the Micra saw a 35 per cent drop to 7,040. Both cars operate in a segment where the leader Swift sells about 20,000 cars a month. The Scala saw sales volumes in the same 10-month period drop 74 per cent to 1,177 as its twin Sunny saw a 38 per cent decline to 4,373.