Renault is targeting a 3.5 percent market share in China through Dongfeng Renault Automobile Co., a 50-50 partnership between the French automaker and Dongfeng Motor, the company's president, Francois Provost, said.
Dongfeng Renault will promote its brand, open new dealerships and add new models "as soon as possible," Provost said in a statement posted on the company's website.
Provost has set an ambitious target. Through August, Dongfeng Renault, which started production this year, delivered 11,398 vehicles, according to the China Passenger Vehicle Alliance, a Shanghai-based consultancy.
That's less than one tenth of one percent of China's overall light-vehicle sales.
Dongfeng Renault has one locally produced model: the Renault Kadjar compact crossover, which hit the market in March. The Kadjar is built at Dongfeng Renault's plant in the central China city of Wuhan.
Dongfeng Renault will start selling its second locally produced vehicle, the Renault Koleos SUV, in the fourth quarter.
The venture will produce one or two more models in China, Provost said. He did not identify them, but added that the venture might add electric cars to its lineup. "China is a huge market for new energy vehicles, and we will also introduce new energy vehicles," he said.
Local production enables foreign carmakers to avoid paying the 25 percent tariff that China imposes on imported vehicles.
As of Sept. 1, Dongfeng Renault had 125 dealerships in China. The company says it wants to have 150 stores by year end and 200 by the end of 2017.
In the first eight months, the locally built Kadjar generated 80 percent of Renault's sales in China, according to Dongfeng Renault.