On August 9th, it was announced by Geely that Renault will be collaborating with them in the Chinese and South Korean markets utilizing their CMA (Compact Modular Architecture) platform. This follows an announcement by Dongfeng Motor Corp in April 2020 that Renault plans to sell its 50% stake in Dongfeng Renault to Dongfeng and that Dongfeng Renault will stop selling Renault branded cars.
Renault intends to jointly develop Renault-branded hybrid vehicles based on the Geely CMA platform technology in the Chinese market.
Additionally, the two companies plan to cooperate on the Lynk & Co energy-saving platform, and use Samsung’s logo to launch it in the South Korean market.
This collaboration is in line with Geely’s open architecture strategy and will accelerate Renault’s “Renaulution” plan to be implemented in the aforementioned markets. The “Renaulution” plan is Renault’s transformation plan announced in January 2021 consisting of three phases: “Resurrection”, focusing on restoring profitability and cash before 2023; “Renovation”, aiming to achieve self-sustaining profitability and a refreshed and enriched product lineup by 2025; and “Revolution”, shifting the company’s business model towards technology, energy and mobility to become a leader in the new mobility value chain starting in 2025. A memorandum of understanding (MoU) has been signed to establish an innovative partnership between the two companies. This partnership is not expected to take the form of a joint venture in the traditional sense.
Source: Geely Holding Group
This article is a translation by ChatGPT of a Chinese report from 42HOW. If you have any questions about it, please email bd@42how.com.