Renault is building R&D team in China to develop EVs for Europe, local report says

Renault is setting up an EV research and development team in Shanghai to target mass production of a new EV model by the end of 2025, but the new model will be built and sold only in Europe, and is not planned to be launched in China, according to a local media report. Here what we know 

Renault is building an EV R&D team in Shanghai to target mass production of a new EV model by the end of 2025, but the new model will be built and sold only in Europe and is not planned to be launched in China; manufacturing and sales will be in Europe, according to a local media report. This is the first time the French automaker will invest in the development of a new car in China, In June, it was reported that the Chinese would help Renault with an electric version of Twingo. “The development of the car will be done together with the Chinese partner to reduce the development lead time and costs,” a project insider told. 

Renault’s small R&D team in Shanghai was established earlier this year to work on an updated EV program. This team is part of Renault China’s Shanghai office but reports directly to Renault’s headquarters in France rather than Renault China. Renault’s head of industrial strategy, Franck Naro, claimed that the company was on par with the Chinese on the EV assembly line and could match the production speed of the most competitive Chinese EV makers. “From what we can see, we are parallel to them,” Naro said. Renault plans to shift more of its EV R&D to China, a source said. The target is to build a full EV development system there, including both software and hardware. Renault isn’t focused on competing in China’s EV market. Instead, the French automaker is aiming to use China as a base for EV development and supply chain needs, with Europe and other overseas markets as its primary focus, the local report says, citing a source close to Renault China.