Renault Delays Production Resumption, Factory Will Only Restart Production in September

The Halt of Production at Renault’s Factory Is Still Due to the Lack of Semiconductors, Which Is Affecting the Entire Automotive Industry

Renault announced last Friday (08/20) that it will only resume production of passenger vehicles at the beginning of September. This is the second time that the return to activities at the Ayrton Senna Complex (located in São José dos Pinhais-PR) has had to be rescheduled. And the problem remains the same: the lack of semiconductors. The return of employees to work at the factory is scheduled to happen starting on the 4th of next month. In other words, seven days after the last set date (08/30). Also see this news: Port of Açu Plans to Attract New Pulp Factories to Its Industrial Park

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The Return of Production

Renault’s statement sent to the press says that “Renault do Brasil informs that due to the impacts caused by Covid-19 on the manufacturing of electronic components, production at the passenger vehicle factory in the Ayrton Senna Complex remains suspended until September 3. It will not be possible to resume production on August 30 as previously scheduled, with the end of the application period of MP 1.045/21.”

The decision affects the entire range of passenger cars from Renault in Brazil. As a result, models such as the new Renault Captur, as well as Duster (SUV and the Oroch pickup), Kwid, Logan, Sandero, and Stepway, will again have their production affected. This is already the second time that Renault has postponed the return of production in Brazil just this month. After the halt on August 2, Renault’s expectation was to resume activities on the last day of the 12th.

Recently, New Collective Vacations Were Announced by Renault at Its Factory in São José dos Pinhais, Paraná

Renault confirmed that it is halting its factories in Brazil once again. The company is, like other automakers in the industry, suffering from the lack of semiconductors, which are so important for vehicle production. This is not the first time Renault has been forced to interrupt its production at the Sao José dos Pinhais complex, in the state of Paraná.

The announcement was emailed to some employees on Thursday, the 29th, and will take effect next Monday, the 2nd, as previously reported by the magazine Quatro Rodas’ website. The duration of the halt varies depending on each employee’s department. At the factory called Curitiba Passenger Vehicles (CVP), which produces Captur, Duster, Kwid, Logan, Sandero, and Stepway, the halt will last for 10 days, with a return expected on 12/8. At the Curitiba Utility Vehicles (CVU) unit, which manufactures the Master van, the duration will be only five days.

When consulted, Renault issued the following statement to Automotive Business: “Renault do Brasil informs that due to the lack of electronic components, there will be collective vacations at the Ayrton Senna Industrial Complex factories, from 02 to 06/08 for the light commercial vehicle factory and from 02 to 11/08 for the passenger vehicle factory. Additionally, there will be no production at the passenger vehicle factory on July 29 and 30. The production related to these two days will be compensated on future dates to be defined by the company.”

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

An ambitious mega project by Renault’s chief, Luca de Meo, symbolizes the largest change in automotive history: electrification. The super project of the new factory is set to be announced by the French multinational this week, and the automaker will present ElectriCity, a project that brings together its three locations in Douai, Maubeuge, and Ruitz into a vast center for the production of electric vehicles in France.

The reason for building the new factory is clear: the future of automobiles is electric. Month after month, the sales figures for new vehicles are forcing a review 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 first car to come out of Douai will be the new electric Megane-E, whose assembly lines are being set up. In this model, Renault’s hopes rest on returning to the competitive C segment, which is valued in the European market.