French carmaker Renault said on Friday that it has completed the acquisition of the remaining 51% stake in the Chennai plant—Renault Nissan Automotive India Private Limited (RNAIPL)—from Nissan, making it the sole owner and operator of the plant. The completion of the acquisition is seen as a significant step towards making India an international hub for Renault.

Earlier this week, the acquisition was approved by the Competition Commission of India. RNAIPL will now be fully consolidated in Renault Group’s consolidated financial statements. The Chennai plant was launched in 2010 and has produced over 28 lakh cars to date. This includes 12 lakh units exported to more than 100 countries. The plant has also made 46 lakh engines and gearboxes in the same period. The plant has an annual production capacity of four lakh vehicles and has an entire ecosystem of nearly 300 local suppliers. Despite gaining control of the Chennai plant, the arrangement with Nissan will continue, and it will continue to produce Nissan models as planned.

As part of its International Game Plan 2027 strategy, the Renault brand is accelerating its expansion in India, where more than 50% of the population is under the age of 28. As the world’s third-largest automotive market, India stands out as a crucial territory, something which Francois Provost, CEO, Renault Group, has also acknowledged. “India is a key market for Renault Group. Over the past 14 years, we have successfully established the Renault brand thanks to our dedicated teams and partners, reaching peak sales of over 100,000 vehicles per year. India also plays a vital role in our global R&D footprint. With full ownership of our plant in Chennai, we now have all the means to accelerate in India,” he said in a statement.

Renault has also opened its largest design centre outside of France in India. Renault Group also relies on a leading engineering centre based in India, jointly owned with Nissan, which plays an active role in developing and adapting vehicles to meet the needs of both local and international markets. The facility is now preparing to host Renault Group’s new ultra-flexible, multi-energy modular platform, which will support the production of the Renault brand’s future models.

The French carmaker plans to launch four new vehicles in India, which include the recently launched Triber. Earlier, it had appointed Stéphane Deblaise as the CEO of Renault Group in India. He will take over as CEO from September 1.