VALLADOLID, May 19 (Reuters) - French carmaker Renault has the capacity to make 300,000 new Modus model -- the mini multi-purpose vehicle based on its Clio small car -- per year, its Chairman Louis Schweitzer said on Wednesday.
"The Valladolid (Spain) factory will have a production capacity of 300,000 cars per year," Schweitzer told a news conference at the site near Madrid. "This figure shows Renault's ambitions for the Modus."
The Modus will be launched in September and the firm expects its factory at Valladolid in Spain to run at full capacity, churning out some 1,350 cars per day as it battles to maintain sales in an increasingly cut-throat western European market.
Schweitzer also said new models like the Modus -- a roomier version of Renault's Clio -- plus the re-vamped Clio itself and Twingo small car would help Europe's fourth biggest carmaker boost its operating margin this year and beyond.
"We are in line with our target of having a model line-up that is amongst the youngest in Europe with an average age of between three and 3.5 years," Schweitzer said. "The aim is to progress in terms of operating margin in 2004 and beyond thanks to the renewal of the range."