French automobile manufacturer Renault has been trying to break into the booming Indian automobiles sector for many years now, but is still stuck at a red light. Now, the company is looking to try its luck once more by joining hands with Bajaj and introducing to the market a range of low-cost, good performance vehicles.

Renault, and its Japanese partner Nissan, which is a decades old automobile giant itself, are now planning to enter India in 2012 with an affordable car for the Indian consumer, thereby joining a whole hoard of manufacturers who are looking to give the Tata Nano a head on competition. Currently priced at Rs. 115,000 ($2,480), the Nano has the honor of being the world's cheapest car.

"I don't want Renault and Nissan to be makers of very pretty cars people dream about but can't afford," Carlos Ghosn, who runs the Franco-Japanese car-making alliance, said. "We need an entry price that's very competitive".

Although not much detail have been shared about the inexpensive automobile which will be a result of the Renault-Nissan-Bajaj partnership, Ghosn has said that it will be "amazing" and priced "lower than any car today made in India".

Earlier the automobiles manufacturer had said that it would price its Indian project, which is being called ULC (Ultra Low Cost) for now, between $2,500-$3,000. But looking at the Nano's real ultra low cost, the range is expected go even further down.