15 Sep 17
News

Integrating Renault-Nissan pushes for savings and EVs

Under the Alliance 2022 plan, the French-Japanese vehicle manufacturer will expand its EV range and create closer integration to increase synergies and hence savings. Mitsubishi is to be incorporated entirely. That is what CEO Carlos Ghosn announced today in Paris.

Over the next five years, the alliance wants to consolidate its leadership position in electric mobility by expanding its line-up with 12 new EVs. The main focus will be on extending the range and cutting the battery costs. Apart from that, much of the R&D budget will go to autonomous driving.

Carlos Ghosn believes that sheer size and component sharing will give his company the competitive advantage it needs. “We are going to use the scale we have to build more competitive advantages for the future," he told  Bloomberg News. "The big guys are going to have a big advantage in this situation."

10 billion euros of savings, 14 million vehicles by 2022

Integration is key in the Alliance 2022 plan. Renault, Nissan and Mitsubishi are to share more architectures, which are to account for 70 percent of the group’s global sales by 2022. Common engines are to represent even 75 percent by that time.

This strategy will contribute to 10 billion euros of savings over the next five years. Global sales volumes are projected to rise to 14 million units. Today, the alliance sells 10 million vehicles worldwide a year. With 5.27 million passenger cars and vans delivered in the first half of 2017, Renault-Nissan claims to have overtaken Volkswagen and Toyota.

Picture copyright: Nissan, 2017

Authored by: Dieter Quartier