If you can't beat them, copy them: Renault 'Sinicizes' to dominate Europe
Renault accelerates its transformation with François Provost at the helm: it aims to cut costs, produce cars at 'China-speed', and strengthen its alliance with Geely, all without renouncing its European identity or its expansion outside the Old Continent.
The new CEO of Renault, François Provost, does not want to change the company's course, but to accelerate its pace. His goal: to apply 'Chinese speed' to the development of new models, reduce costs by 'double digits', and strengthen alliances with Asian partners like Geely, without losing the European identity.
Renault has been undergoing transformation for years, but the arrival of François Provost as president marks a turning point. In the presentation of the new Clio in Munich, the French executive left a clear message: there will be no strategic shift, but an increase in pace.
'It's not about redesigning the plan, but executing it faster', he said. His goal is clear: to lower production costs by double digits and respond to an increasingly aggressive electric market.
Dacia will continue to be the low-cost option for the masses, while Renault will move upmarket
The craze for 'China-speed'
Provost wants the diamond brand to operate at the speed of Asian giants. 'We have no time to lose', he pointed out, and gave an example that has already become an internal motto: the upcoming electric Twingo has gone from sketch to production-ready model in just 21 months, whereas Renault previously needed four years.
This acceleration not only reduces development costs but also prevents Renault from falling behind customers whose tastes change at the speed of a click.
To achieve this, Renault is looking to the East. Cooperation with the Chinese group Geely, with which it shares the Horse Powertrain engine project, will intensify. The idea is to share platforms, technology, and suppliers to gain efficiency.
However, Provost insists that models intended for Europe will continue to be assembled with 70% local components, under the principle of 'local for local', a delicate balance between industrial pragmatism and continental pride.
Beyond Europe
Although the Old Continent remains Renault's largest market, the new roadmap expands the map. South America and India are in the crosshairs. The complete takeover of the Chennai plant, previously shared with Nissan, is the first piece of an expansion aimed at diversifying income and reducing dependence on Europe, a saturated and increasingly competitive market.
In parallel, Provost wants to more clearly differentiate the two major brands of the group. Dacia will continue to be the low-cost option for the masses, while Renault will move upmarket with more technology, better finishes, and advanced safety equipment. The new Clio, with up to 29 driving assistants, is the recent example of this ambition.
The automotive industry is experiencing a dizzying moment: forced electrification, tight margins, and Chinese rivals launching models at an unstoppable pace. In this context, Renault has opted for a pragmatic approach. It's not about losing identity, but about absorbing the best from its competitors.
'The laws in the automotive industry are changing right now. Size is less crucial, technology and speed are becoming increasingly important', summarizes Provost.
Or, in other words, if you can't beat the Chinese rivals, join them (or copy them). The French diamond wants to speak the language of speed and efficiency… even if that language has an increasingly Mandarin accent.
Fuente: Ecomento.de