Renault Will Build Mega Factory and Create New Production Center Capable of Assembling 400,000 Electric and Hybrid Cars Per Year

The Project Symbolizes The Largest Change In Automotive History: Electrification. The Plan Is A Fundamental Part Of The Strategy Of Renault’s ‘Big Boss,’ Luca De Meo, To Revive The Automaker

An ambitious mega project from Renault’s big boss, Luca De Meo, symbolizes the largest change in automotive history: electrification. The super project is expected to be announced by the French multinational this week, and the automaker will unveil ElectriCity, a project that consolidates its three locations in Douai, Maubeuge, and Ruitz into a vast electric vehicle production hub in France.

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The cause is clear: the future of the automobile is electric. Month after month, the sales figures for new vehicles are forcing a revision of long-term forecasts. In May, in France, hybrid vehicles accounted for 26% of new car sales, with 36,221 registrations, compared to 22% for diesel vehicles.

The EV hub, which could produce up to 400,000 vehicles, is a key part of CEO Luca De Meo’s strategy to pull the troubled automaker out of difficulties and increase the production of electric and hybrid vehicles. The shift would also help fulfill a promise to the French state, Renault’s most powerful shareholder, to preserve jobs and EV technology in France.

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The first car to roll out of Douai will be the new electric Megane-E, with assembly lines being set up. In this model, Renault’s hopes rest on returning to the battle in the C-segment, which is mid-range and valued in the European market.

The B-segment, below the C, popular among French drivers, is not neglected. Renault is expected to announce that ElectriCity will host the assembly platform for the future electric R5, which is set to be launched in 2024. Taking stylistic codes from its glorious predecessor, launched just after the 1973 oil crisis, this future model is also eagerly awaited.

Renault Imitates Its Competitor Toyota And Bets On More Expensive Cars

The CEO, Luca De Meo, a marketing guru, confirmed the end of the “race for volumes” (seeking to increase the number of vehicles sold at all costs, risking low profitability), decided by the interim management that succeeded the surprise exit of Carlos Ghosn: Renault’s future must be more opulent, targeting the upper market, and therefore sold a little more expensively.

Luca De Meo has never hidden this, and for him, it is a matter of mimicking Carlos Tavares’ work at rival PSA (now Stellantis), which manages to earn much more profit on each vehicle sold than Renault does. However, it is from another manufacturer that Luciano Biondo comes, who will lead ElectriCity.

This Italian, former head of Toyota’s Valenciennes factory, which produces small Yaris, has built a strong reputation for himself as an efficient person open to social dialogue. Finally, near the site, a large electric battery factory led by Envision, a Chinese operator, could be established.

Multinational Ford, Which Closed Its Factories In Brazil, Prepares To Sell The Ceará-Based 4×4 Jeep Brand Troller And 470 Job Opportunities Are At Stake In The State

After ceasing to manufacture vehicles and closing its factories in Brazil, Ford Motor is expected to sell the Troller factory in Horizonte (CE) by the end of June, according to Ceará’s Secretary of Economic Development and Labor, Maia Júnior. In an interview with CBN radio, Maia confirmed that a group from the automotive engineering sector showed interest in acquiring the plant.

The State Government of Ceará is acting as an intermediary in the negotiation and has promised fiscal incentives to the company that acquires Ford’s complex, especially if it focuses on clean energies. “Our priority is to maintain jobs,” Maia said to CBN.

“I cannot specify, because it is a relationship between seller and buyer. I have positioned myself as a facilitator. We are supporting the potential buyers because it is in the interest of the state government to ensure the factory’s continuity and, therefore, the preservation of jobs,” Maia Júnior told O Povo CBN radio. According to him, Ford wants to close the deal by the end of June.

The Troller factory in Ceará generates 470 direct job opportunities, and employees are at risk of being laid off, as happened with the closure of Ford’s factory in Camaçari (BA), which left more than five thousand people unemployed. “We want the future buyer to come with advances in the automotive industry that are not limited to production,” says the secretary.