Two trends recently - small cars with a premium and small cars for small budgets. The MINI and its many versions, the Fiat Abarth, and a host of other small cars pack the punch for a price. Toyota has recently just announce their price bumps which included their fleet’s small car, the Yaris. A while back, Tata has decided to shake things up with a budget people car coming in the $2,000 price range.

I am quite confused as to which direction the small car market will go but Tata might just make a killing with such an ultra-budget car. Hyundai is trying to give the Nano a run for its money by pushing forward safety issues. Still, I’m pretty much sure that depending on the market demand for these small budget cars, these companies will be forced to try to create the best compromise between size, performance, cost, and safety. And this recent announcement by Renault seems to be promising - a $2,500 budget car that is also aimed to compete with the Nano.

Mr. Rajiv Bajaj, Managing Director of Bajaj and Mr. Carlos Ghosn, President and CEO of Renault and President and CEO of Nissan, today announced they will form a joint-venture company to develop, produce and market the car code-named ULC with wholesale price range starting from 2500 USD. The new joint-venture company will be 50% owned by Bajaj Auto, 25% by Renault and 25% by Nissan.

Targeting the growing Indian new vehicle market, the ULC will be made at an all-new plant to be constructed in Chakan (Maharashtra state) in India. Initial planned capacity will be 400,000 units per year. Sales will start in early 2011 in India, as a primary market, with growth potential in other emerging markets around the world.

Source: Renault-Nissan Alliance

Renault will be presenting their first ever crossover in Geneva Motor Show. This release would then complete their line-up for the C-segment market. It’s kind of weird since this is Renault we’re talking about. The crossover, dubbed the Koleos, was designed by Renault, developed by Nissan, and made in the Renault Samsung Motors plant in Korea.

The Renault Koleos will be powered by a choice among 2.5L 175hp gasoline engine and two 2.0 dCi diesel engines capable of 150 and 175hp (all Euro 4 compliant, by the way). These can be mated to six-speed manuals and selected markets get a six-speed automatic option.

Performance and safety features include ABS with electronic brakeforce distribution, emergency brake assist, four-wheel drive, and ESP with understeer control.

Source: Renault

The Renault Kangoo’s been around for some time now. If you really haven’t heard about it you might just have to ask what’s up with car names these days. It seem like even the Web 2.0 craze has infected automakers and how they dub their latest set of wheels. What’s the last one, the Ford Kuga? At least the Kangoo (that’s kangaroo without the “ar”) is just getting a twist this time around.

Formerly known as an MPV, Renault is set to debut a different kind of Kangoo with the Kangoo Compact Concept. Yes, it’s a squashed people mover with an overall length of 3.9m, a height of 1.7m, a width of 1.86m and weighs 1.225 kg. You just have to wonder why the heck did Renault bother giving the Kangoo a makeover and push it in the fray of compact cars especially with this partnership with the in-line skating company, Rollerblade.

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The New Renault Laguna will definitely be seen in Frankfurt this September, Renault assures us all. What’s more interesting is that, two months after giving us specs, details, and photos, Renault released a press release hyping the New Laguna as if stressing the point that the Laguna will be a quality car that combines the usual power-comfort-elegance route.

Depending on the option, the Laguna may have the 130 and 175 hp versions of the 2.0L dCi paired with Renault’s AJO automatic transmission. There’s also 1.5L dCi 110 hp which gets about 5.1 liters/100km. Another engine developed by Renault and Nissan, a 145 hp 2.0 16V gasoline engine lauded for its hushed down acoustics.

Renault has also put in much work on creating a comfortable ride with improved handling and a nice interior. Features include parking assistance, cruise control, navigation system, and optional trims.

Source: World Car Fans