NEW DELHI, Oct. 17 -- When Stephane Deblaise took charge of Renault's India operations a little over a year ago, he brought a lesson from South Korea: car buyers do not necessarily replace their petrol or diesel cars with electric vehicles (EVs).

His first year in India has reinforced that view. Buyers still weigh engine performance, fuel efficiency, technology and price before choosing a car, the 54-year-old French chief executive told Mint. "The big picture I understood very quickly," he said. "Engines are very important. Value is very important."

That conviction is now shaping Renault's biggest powertrain bet yet on the Indian market: a strong hybrid version of its flagship sport utility vehicle (SUV), the Duster, launched on Saturda...