6Media, published on Thursday May 14, 2020 at 9:10 p.m.
According to information from Reuters, Renault is about to take a new turn. Several models which made the glory of the manufacturer should not be produced in the future.
It’s a page that turns at Renault. According to information gathered by Reuters, the French company is preparing to sort through its production of vehicles. Because of the very problematic situation in which it finds itself, the car company could sound the end of historic models like Space for example.
“The whole project is not yet set in stone, but we can already remove the Space, the Scenic and the large Talisman sedan from the future product plan, it is almost certain that these models will not be not renewed and they will stop “, says a source. The famous Renault Megane may even be in danger. This would be a continuation of the policy adopted in 2009 to refound a range.
This should notably help Renault raise its head after a very difficult year in 2019 when the legal problems of former CEO Carlos Ghosn were added to the financial difficulties of the partner Nissan. A drastic plan to save two billion euros over three years must be presented at the end of May.
Fewer single-seaters, more SUVs
The cessation of production of these old models should mark the start of a new strategy. The company wants to focus on a specific type of vehicle. “Basically, less MPVs and sedans, and priority to crossovers and SUVs”, the same source explains to Reuters. In this perspective, the Renault Kadjar 5 or 7 places will be put forward.
The reduction in the number of vehicles in the range is an initiative that could be inspired by what PSA did in 2014. Going from 45 to 26 models, the firm subsequently recorded 300 million euros in cost reduction annual. “The comparison with PSA has its limits, because Renault is much more international than its compatriot, whose sales remain very focused on Europe”, nuance one of the sources.
This decision will, however, only be a step in the long process of changes within Renault. Interim Executive Director, Clotilde Delbos announces that there will be no taboos around the question of savings. Many people fear a reduction in staff and site closings.
–
