Hybrid and thermal
Although Renault will continue with the heat engines outside the European Union (EU), in the block it will bet on the electric future to adapt to its climate aspirations, since the new vehicles authorized for sale in 2035 must not produce any greenhouse gas emissions.
A) Yes, Renault plans to share its activities 50% with the Chinese group Geely, already owner of Volvo.
The two partners will create an equipment provider called horse (horse in English) that will develop, produce and sell gasoline and diesel thermal engines, as well as hybrids.
This Franco-Chinese division will have 19,000 employees in Europe (Spain, Romania and Sweden), China and South America, spread over 17 factories and five research and development centers. Their turnover, estimated at more than 15,000 million euros (a third of the group total in 2021), should grow by 4% until 2027.
Renault also announced the creation of a new entity, Powerwhich will unite all its thermal and hybrid activities of the group: not only the Horse project, but also the non-electric vehicles of the Renault brand, its Dacia economy model and utility vehicles.
The sports brand Alpine also will be open to investors and foresees a growth of 40% per year between 2022 and 2030. A big issue remains pending: the French State and the Japanese partner Nissan each have a 15% stake in Renault, and it remains to be seen what participation the Japanese group will take in the new electrical subsidiary.
This reorganization in fact precedes a profound change in the Renault-Nissan-Mitsubishi alliance, with a reduction in Renault’s stake in Nissan’s capital, which will be specified “in the coming weeks,” said the executive director of the French group, Luca di Meo.