Renault plans to unveil new biz strategy on January 14

On January 14, 2020, Renault will present its new strategic plan for the future, which it is calling a “Renaulution.” According to a report by Automobilwoche, the plan is primarily focused on cutting costs and will see a downsizing of the French automaker’s line-up.

Renault CEO Luca de Meo did not reveal which models will face the axe, but has said that Renault wants to reduce its broad range of products and services by around 30%. Cars that are likely to be dropped include the Espace, Scenic and Talisman, all of which have shifted in relatively low volumes.

The automaker will also avoid “technology fields that are not immediately usable” and focus on developing its own solutions to reduce its dependance on third-party vendors and suppliers. These efforts are aimed at modernising the Renault Group and to make it more profitable.

A more realistic global strategy is also something that de Meo as aiming for, as he admitted that their current “geographic expansion has not produced the expected results.” This could see its division in China work more closely with local partners to enhance competitiveness in the region.

The Renault CEO also reiterated Renault’s commitment to its alliance members, Nissan and Mitsubishi, saying that a separation would send all three to the “second league of car manufacturers.” Technologies developed by alliance members will be instrumental to new projects planned, but they remain unknown for now.

Given the global trend towards electrification, Renault’s future will likely include a number of new electric vehicles. The company previously presented the Megane eVision concept back in October this year and reportedly has two other EVs underpinned by the CMF-EV platform that debuted in the Nissan Ariya.

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