Renault Leverages Chinese Expertise to Accelerate EV Development

Credit: Renault

Renault Group is strengthening its ties with the Chinese automotive sector to advance its electric vehicle (EV) development and streamline production processes, despite not selling cars in China. CEO Luca de Meo highlighted China’s role in automotive innovation, stating, “This is where the real things are happening.”

The French automaker established the Advanced China Development Center (ACDC) in Shanghai last year to tap into local expertise. One of its first projects, the Twingo E-Tech, is being developed in China but will be produced in Slovenia for the European market. The EV is expected to be priced under €20,000 ($20,565), aiming to expand accessibility in Europe. “The Twingo would be a pretty advanced product. It’s a new generation,” de Meo said in an interview with China Daily in Shanghai.

De Meo explained that Renault’s Chinese team demonstrated a rapid response to the company’s ambitious request to develop an affordable EV within two years. “My [French] team was a little bit surprised that I want to do this. The guys told me, ‘It’s impossible.’ And then I came to China and asked the same question, and the guys told me, ‘Not a problem,’” he said.

Renault has also engaged in partnerships with several Chinese companies, including Dongfeng, Geely, and battery suppliers Minth, Envision, and CATL. The Dacia Spring, developed with Dongfeng, has been well-received in Europe, with annual sales reaching 60,000 units.

In collaboration with Geely, Renault launched the HORSE Powertrain joint venture to develop hybrid and combustion engine systems. Additionally, the partnership includes vehicle production in South Korea, such as the Renault Grand Koleos SUV and the Polestar 4 EV. Renault has also worked with Chinese autonomous driving company WeRide, offering autonomous shuttles at the French Open in Paris.

The company’s collaboration with Chinese engineering teams has significantly reduced development timelines, cutting car production from 48-60 months to 16-20 months. “We do it because we partnered with the Chinese engineering system. The outcome is exactly the proof of our mindset, of our openness, to re-engineer stuff,” de Meo said.

In 2024, Renault sold 2.26 million vehicles globally, a 1.3% increase compared to the previous year, with hybrids and EVs making up a growing proportion of its sales. Electric vehicles accounted for 9% of Renault’s European sales, rising to 12% in the fourth quarter.

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