Renault is tackling a major challenge: designing an electric car for less than 20,000 euros. A task made possible thanks to an (un)expected collaboration with China.
The electric car at 20,000 euros, excluding ecological bonus. It’s a great promise. It will take the form of a new electric Twingo, a concept of which was presented at the end of 2023. To arrive at this “magic” figure, Renault had to find a partner.
China, no choice
Last year, Renault unveiled the first images of the future electric Twingo, planned for 2026. The major challenge: maintaining a price below 20,000 euros.
At the beginning, Renault had to work with Volkswagen: the two vehicles could have shared a single platform, as well as their electric engines. However, after the failure of the partnership with VW, Renault is still maintaining its project for a new edition of the electric Twingo for less than 20,000 euros. But the French group will not do it alone.
Renault has turned to China, where lower-cost production is already well established. This is, in any case, what is asserted Reuters. This strategy is not new for Renault, which has enjoyed similar success with the Dacia Spring, manufactured in China by Dongfeng.
However, this solution is far from perfect. Indeed, the production of electric cars in China is often criticized for its environmental impact. Additionally, reliance on China for electric car production raises questions about Europe’s sovereignty.
Designed with China, but produced in Europe
For the new electric Twingo, Renault wants to keep the reins of design and technology. After all, it is a true classic in the history of the brand. However, China’s help is needed in the price war.
Production of the new electric Twingo should therefore take place in Europe, notably in the Novo Mesto factory in Slovenia, already familiar with the manufacture of Renault models.
It has not yet been confirmed who the partner is. Some media outlets mention Geely as a likely partner. Renault cooperated with Geely on the current Twingo III. Renault is also working with Geely on the future development of hybrid engines and thermal engines.
Although the formalization of a partnership with Smart has not yet taken place, Geely, the majority owner of Smart and Volvo, could play an important role in this project. Moreover, this electric Twingo will arrive in 2026.
Volkswagen goes it alone, Stellantis also turns to China
Volkswagen, for its part, had announced that it would develop an electric car on its own for around 20,000 euros, the ID.2 all or the ID.1. It should arrive on the market in 2027 and be produced in Europe.
As for Stellantis, they decided to acquire a stake in Leapmotor and launch their cars in France. Another strategy French-style.