It would have all of its smaller cars under the Dacia badge, while the higher sector vehicles would take the Renault name. Renault has, however, dismissed recent reports that the move towards two brands would see the smaller and cheaper Megane, Clio and Twingo being sold under a different badge. It is remaining tight-lipped about what it has actually got planned for the existing cars if a new range of small cars is launched.
A spokesman for Renault said: 'There are exploratory talks with Dacia with a view to manufacturing a range of smaller cars. But at the moment talking is as far as it goes. To say Renault is considering putting any of its existing models under a different badge is not true. It is now down to the negotiations with Dacia and a final decision from the Renault head office in France.'