Renault Amps Up The Move To A Sustainable Electric Future

Renault Software Defined Vehicle plans

Renault Group + Qualcomm planning for a sustainable electric future

Earlier this month, Groupe Renault sat down with investors to roll out the plans for its new sustainable business revamp, which includes a newly launched electric-vehicle, as well as a platform for the development of thermal and hybrid assets.

The e-vehicle market has been booming for the last few years as motorists become increasingly aware of the impact of their daily emissions. As the 2022 United Nations Climate Change Conference or Conference of the Parties of the UNFCCC (more commonly referred to as COP27) wraps up in Egypt, consumers are over the globe are learning that less-polluting products are the only way forward. Renault agrees.

In a game-changing move, the European Union laid the groundwork in October of this year to phase out the sale of new carbon-emitting vehicles completely by 2035. This has inspired renewed fervour in automakers who are now competing to bring the most efficient electric prototypes to market.

So, what will this green transformation look like? Here is what we know so far:

  • Ampere will stand as the flagship division of Renault’s green reorganisation. This division is poised to employ 10 000 staff members in the north of France to produce e-vehicles. There are talks of opening up the scope for outside investment, but Renault would remain the majority shareholder at all times.
  • Horse will be the research and development subsidiary that develops hybrid and internal-combustion vehicles, employing up to 19 000 staff members throughout Europe, America and China. Well-known eastern automaker Geely is currently in the running for a stake in this subsidiary.

According to Renault CEO Luca de Meo, the decision to reorganise in this way follows their overarching goal to remain agile and innovative in the face of vastly accelerated technological evolution.

The initial response to the news of Renault’s restructuring has been very positive, with group shares gaining 3.7% on the Parisian stock market. Although there have been some concerns regarding job losses that are likely to occur due to the separation of electric and conventional production, the overall sentiment is that Renault is making the sensible move right now. In fact, e-vehicles and hybrids made up 38% of its European sales this year – a whopping 12% increase from 2021.

We are keeping a close eye on these exciting proceedings and will share more news from Groupe Renault as it becomes available. In the meantime, feel free to get in touch with a Group1 Renault representative to learn more about the vehicles we currently have on our showroom floors in Johannesburg and Stellenbosch.

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