Japanese auto giant Nissan on Friday announced it has terminated its over five-year-old agreement with Hover Automotive India Privated Limited, which looks after the sales, marketing and distribution of its vehicles in India.
Its Indian subsidiary, Nissan Motor India Private Limited (NMIPL), has assumed full responsibility for the sales, marketing and distribution of all Nissan-branded vehicles and parts in India, effective February 14, 2014. More details about the business structure will be announced in due course, the company said.
The decision was made well ahead of Datsun's March debut.
Kenichiro Yomura, Nissan president, India operations, said: "Nissan is now at a point of maturity in India where the time is right to establish our own marketing and distribution operations. Nissanís priority will be to ensure a smooth transition from current operations.Ē
It may be recalled that the straining of ties between Nissan and Hover came out in the open in mid 2012 after many dealers started complaining to Nissan India against Hover Automotive of non-payment of dues and poor sales and supply of parts.