RENAULT: Groupe Renault sets its new Strategy for China
14 April 2020 - 4:18PM
RENAULT: Groupe Renault sets its new Strategy for China
PRESS
RELEASE
Groupe Renault sets its new Strategy for
China
- Groupe Renault will focus in China on light commercial
vehicles (LCV) and electric vehicles (EV).
- Groupe Renault will transfer its shares in Dongfeng
Renault Automotive Company Ltd (DRAC) to Dongfeng Motor
Corporation. DRAC will stop its Renault brand-related
activities.
- LCV business is operated through Renault Brilliance
Jinbei Automotive Co., Ltd. (RBJAC), leveraging Jinbei legacy with
Renault know-how.
- EV business will be developed through the two existing
joint ventures: eGT New Energy Automotive Co., Ltd (eGT) and
Jiangxi Jiangling Group Electric Vehicle Co. Ltd
(JMEV).
Boulogne-Billancourt, April 14th, 2020 - Groupe
Renault unveiled today its new strategy for the Chinese Market,
building on two of its key pillars: Electric Vehicles (EV) and
Light Commercial Vehicles (LCV).Within this new strategy, Groupe
Renault activities in China will be driven as follow:
About Chinese ICE Passenger Car
Market
Regarding ICE passenger car, Groupe Renault has
entered into a preliminary agreement with Dongfeng Motor
Corporation under which Renault transfers its shares to Dongfeng.
DRAC will stop its Renault brand-related activities.
Renault will continue to provide high quality
aftersales service for its 300,000 customers through Renault
dealers but also through Alliance synergies.
Further development for Renault brand passenger
cars will be detailed later within future new mid-term-plan
Renault.
Furthermore, Renault and Dongfeng will continue
to cooperate with Nissan on new generation engines like components
supply to DRAC and diesel license to Dongfeng Automobile Co., Ltd.
Renault and Dongfeng will also engage in innovative cooperation in
the field of intelligent connected vehicles.
About Chinese LCV Market
Increasing urbanization rate, e-commerce
extension, inner-city transportation schemes and versatile
customers usages are the key characteristics of a rapidly changing
LCV market in China. It reached 3.3 million in 2019 and is
forecasted to maintain a steady upwards path.
Renault Brilliance Jinbei Automotive Co., Ltd.
(RBJAC), launched in December 2017, is Groupe
Renault’s sword arm for its LCV business in China.
Groupe Renault is leading the LCV market in
Europe in terms of sales volumes for light commercial vehicles, as
well as sales of electric light commercial vehicles.Jinbei is a
well-established Brand with 1.5 million customers in China and
close to 162,000 sales in 2019.
With Renault expertise and technologies, RBJAC
is modernizing Jinbei models and extending the line-up with a total
of 5 core models by 2023. The joint venture will also export in the
future.
About Chinese EV Market
With 860,000 electric vehicles sold in China in
2019, China is by far the largest EV market in the world. EV sales
are expected to reach 25% of the Chinese market by 2030.
Groupe Renault was a pioneer on EV and has sold
close to 270,000 electric vehicles in the world since 2011. It
gives a strong competitive advantage in China as shown by the
successful launching of Renault City K-ZE, the first joint venture
EV car competing in A segment with the best local automakers.
Groupe Renault expect to reinforce its
partnership with Nissan and Dongfeng within eGT to
make K-ZE a worldwide car. A derivative for Europe based on “Dacia
Spring” concept will be sold from 2021.
JMEV is known as an agile and
efficient EV player since its creation in 2015. With Renault
support in terms of quality and technologies, JMEV will cover 45%
of Chinese EV market in 2022 with 4 core models.
*
This new China strategy will enhance Renault
competitive advantages to sustain long-term presence in the Chinese
market and maximize synergies with Nissan under the new Alliance
concept of “leader-follower”.
“We are opening a new chapter in China. We will
concentrate on electric vehicles and light commercial vehicles, the
two main drivers for future clean mobility and more efficiently
leverage our relationship with Nissan” said Francois
Provost, Chairman of China region of Groupe Renault.
***About Groupe Renault Car
manufacturer since 1898, Groupe Renault is an international group
present in 134 countries that sold nearly 3.8 million vehicles in
2019. Today it has more than 180,000 employees, 40 manufacturing
sites and 12,700 sales outlets worldwide. To meet the major
technological challenges of the future and pursue its strategy of
profitable growth, the Group is relying on its international
development. It relies on the complementary nature of its five
brands (Renault, Dacia, Renault Samsung Motors, Alpine and LADA),
the electric vehicle and its unique alliance with Nissan and
Mitsubishi Motors. With a 100% Renault team committed to the
Formula 1 World Championship since 2016, the brand is involved in
motorsports, a real vector for innovation and
recognition.
About Groupe Renault in
ChinaRenault has 50% capital in DRAC and JMEV, 49% in
RBJAC. eGT capital is 50% Alliance, 50% Dongfeng.
For more information:Rie
Yamanerie.yamane@renault.comPress officer+33 1 76 84 00
99+33 6 03 16 35 20
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