Renault joins forces with Minth Group to produce battery boxes in France – 06/20/2022 at 18:01

(AOF) – Renault Group and the automotive supplier Minth Group have announced the signing of a memorandum of understanding for the creation of a joint venture to produce battery boxes, based in France. The joint venture will locate this high technological value activity at the Ruitz factory (ElectriCity), intended for future electric vehicles produced within the ElectriCity cluster.

The joint venture will install two new production lines in Ruitz in 2023, with a capacity of 300,000 units (or bins) of batteries per year by 2025, for electric models, including the future R5.

This joint venture will support the very strong growth of the electric vehicle market and the development of the Renault ElectriCity industrial cluster, which aims to achieve annual production of 480,000 electric vehicles by 2025 in factories in northern France.

“The battery tray, a set of extruded aluminum parts assembled by friction welding in which the constituent modules of the battery are housed, is a strategic component of the high-tech electric vehicle and contributes to the durability and safety of the vehicle”, have explained the two groups.


Key points

– Fourth largest automobile manufacturer in the world, created in 1898 and present under the Renault, Dacia, LADA, Alpine and Mobilize brands;

– Global industrial positioning, with a turnover of €46.2 billion achieved for more than 50% outside Europe and with strong positions in 9 countries: France, Russia, Italy, Turkey, Spain, Belgium-Luxembourg, Romania, Morocco and Poland;

– 93% of turnover generated by the automotive sector, including 6% by the Russian manufacturer Avtovaz;

– Business model: repositioning on medium-sized vehicles, on the quality of the offer in electric or hybrid vehicles and flexible services;

– Capital held 15% (29.05% voting rights) by the French State, 15% by the Nissan subsidiary, and 3.61% (5.88%) by employees, the Board of Directors of 17 members being chaired by Jean-Dominique Senard, Luca de Meo being Chief Executive Officer;

– Fragile balance sheet with a gearing ratio of 142.5% on €27.9 billion in equity, with available cash reaching €21.9 billion.


– “Renaulution” strategy in 3 steps:

– resurrection until 2023: brand autonomy, rationalization of platforms from 6 to 3, “mid-range” offer increased to 40% of revenues from 15%, operating margin of +3%, free cash flow of €3 billion,

– renovation from 2023 to 2025 by renewing the ranges,

– “renaulution”: increased use of hydrogen in professional vehicles with a market share target of 30% in 2030;

– Innovation strategy focused on connectivity, services and electric vehicles, based on R&D at 4.4%:

– network of experts, innovation labs (California, France, Israel), ReKnow University dedicated to electrification, data cybersecurity, etc.,

– partnerships: CEA and the Moveo, Sysematic and ID4Car competitiveness clusters,

– NeVeOS project for the electronic architecture of vehicles,

– E-TECH hybrid technology and French and carbon-free batteries,

– partnerships: CEA, EnVision AESCMoveo, Sysematic, STMicro and ID4Car…,

– Renault Venture Kapital and Alliance Ventures investment funds for venture capital and start-up support;

– Environmental strategy for carbon neutrality in 2040 in Europe and in 2050 worldwide:

– objective of a range of all-electric private vehicles in Europe in 2030 via €23 billion of investments by 2027 and 5 common platforms;

– circular mobility economy driven by the Flins plant: industrial reconditioning of used vehicles, recycling and reuse of parts and equipment, innovation and research structures;

– Dynamism in Europe of E-TECH vehicles and 7 vehicle launches in 2022.


– Another strong impact in the 1st half of the lack of semiconductors (total loss of 300,000 vehicles in 2022) and inflation of raw materials;

– Russia-Ukraine war: end of all Renault activities in Russia;

– Operational launch of Mobilize, bringing together mobility, energy, financing, insurance and maintenance services, targeting 20% ​​of sales by 2030;

– After a decline in sales in the 1st quarter, 2022 objectives revised downwards: positive automotive operating self-financing and operating margin of 3%;

– No dividend for 2021.

New giant in used cars

The market, which represents 400 billion euros in Europe, is subject to a movement of concentration. The British group Constellation has taken over the retail platform, CarNext. The objective is to form a European leader in the sector and to impose itself against other leaders such as the German AutoHero, the British Cazoo or the French Aramis Auto. Fundraising is accelerating. The British Cazoo has announced its listing on the New York Stock Exchange via a Spac (Special Purpose Acquisition Company) to raise $1.6 billion. The German Auto1 Group raised 1.8 billion euros on the Frankfurt Stock Exchange while the French Aramis Group, a subsidiary of Stellantis, entered the Paris Stock Exchange.

Source link -86