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Renault to launch €2,500 car: report

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16:26 CET+01:00

Renault is set to embark on a project to build an ultra-economic car costing just €2,500 euros ($3,375), a French business newspaper reported.

According to an article in Wednesday's La Tribune, a team at Renault-Nissan will on January 1st start developing several low-price car models for emerging markets, though the vehicles could ultimately find their way into the European marketplace.

The cheapest will cost only a third as much as the Dacia Logan, a small family car manufactured by Renault and its Romanian subsidiary Dacia.

The project will be overseen by Gerard Detourbet, head of Renault's entry-level car division, La Tribune reported, citing internal sources.

Renault confirmed to AFP that Detourbet would join a Renault-Nissan small-car team at the start of 2012.

But the car maker did not comment on whether a €2,500 car would be the team's focus.

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