Renault has just introduced the Lodgy, its new MPV and by the end of this year, the French manufacturer will also be introducing the XBA, its new compact hatchback based on the CMF-A platform. The Renault XBA will be powered by an 800cc petrol engine, codenamed as B4A. This is a three-cylinder mill and it will produce about 45-50bhp of power. This will come mated to a five-speed manual transmission.

Renault is mostly naming the XBA as Kayou, which in Japanese means to commute. Renault has lately been using a lot of “K”s on their upcoming products and there is a high possibility of Renault using Kayou as the name for the XBA. This was confirmed by one of our sources. The XBA will be priced at about INR 2.5 lakhs (on-road) for the base model and expect it to be launched in three to four variants. In the eastern Europe market, it will be priced under 5000 Euros. Renault has undergoing the final testing of the product and this new entry-level hatchback from the French automaker will be sold under the Dacia badge in Eastern Europe and Africa. Most likely, the two plants to manufacture the Kayou will be the Renault-Nissan Chennai plant and Moroccan plant in West Africa. Renault Lodgy logo

Renault will be competing with the Maruti Suzuki Alto 800 and the Hyundai Eon in this segment. The French manufacturer could announce AMT (automated manual transmission) at a latter stage. Nissan will be introducing the RediGO, which will be based on the same CMF-A platform, like the Renault Kayou. This will help Renault and Nissan both to justify the quantity.

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