The Renault group reaches a clear separation and splits into five

Renault’s Market Day was held today where, among other things, CEO Luca de Meo announced the creation of five new companies to follow every facet of the automotive market: Ampere will deal with the development and sale of electric vehicles, Alpine of high-end zero-emission sports cars, Mobilize financial services.

Then follow The Future Is NEUTRALwhich will have the important task to create a 360-degree circular economy system in the automotive sector (in particular from the extraction of raw materials to the recycling of exhausted batteries as regards the electrical section), and finally Power which will deal with internal combustion and hybrid models.

The latter company will also see, in 2023, the 50/50 joint venture between Renault and Geely (Chinese automotive giant e majority shareholder of Volvo, Polestar, Lynk & Co and Lotus) for project management Horse; the Asian company will produce thermal cars for Renault and other manufacturers such as Dacia, Geely Auto, Volvo, Lynk & Co and Proton.

The announced marriage between the French group and the Chinese carmaker is not frowned upon from Japan’s Nissanwith which the French brand already has an ongoing Alleanza relationship, as Geely will have access to the know-how reserved between the two companies and, more seriously, to specific skills of the Japanese company.

The thermal engines will be built on 17 production sites spread over 3 continents and with supplies destined to be marketed in 130 countries. The company will also have 5 R&D centers in Europe (Spain, Romania and Sweden), China and South America, 19,000 employees, a starting turnover of more than 15 billion euros and a volume of 5 million units per year, already serving 8 customers.

The entry of one is also expected shortly oil majors (probably Total) with whom negotiations are underway.

The electrical division, Ampère, will have around 10,000 employees and aims to produce one million electric vehicles for the Renault brand by 2031with an average turnover growth of 30% per year.

The company will not only develop electric models, but also digital businesses in which they will take part “big names”including Qualcomm Technologies providing Snapdragon Digital Chassis electronic architecture; another important software development partner will be Google.

According to Renault’s plans, Ampère will place on the market by 2030 six 100% electric models for private transport: Renault 5, electric Megane, Renault 4, and already next year the electric Scenic.

Still on the synergies front, looking at the prospect of electric commercial vehicles, Renault will introduce – in a production made with another manufacturer – i FlexEVan: electric vans, software Defined with a focus on reducing operating costs.