PARIS -- Renault and alliance partner Nissan are looking to China and similar nations for more parts.
Nissan aims to buy more than 15 percent of the components used to make cars in Japan, North America and Europe from what it calls "low-cost countries." Those include China, India and Thailand.
The forecast comes from Hiroto Saikawa, Nissan's executive vice president for purchasing, in the company's latest annual report. He
doesn't give a target date, but says the benefits of those purchases will be seen this year.
His forecast of 15 percent may be on the low side.
"I think it is more," says Odile Desforges. She chairs the joint Renault Nissan Purchasing Organization (RNPO).
RNPO buys 70 percent of all the parts, materials, and services used by Nissan and Renault.
Nissan and Renault car factories in low-cost countries likely will be buying 80 percent of their parts from local suppliers, she says.
Other Nissan and Renault factories could buy as much as half of their parts and components from sources in those countries, she says, if one counts parts purchased from those nations by the carmakers' Tier 1 and Tier 2 suppliers.
You may e-mail James B. Treece at [email protected]