Groupe Renault has signed a joint venture agreement with Geely Group, currently China’s largest automotive group, to launch new hybrid models high yield (HEV) as well as other thermal models.
Thanks to this partnership, these new models will be produced from 2024 in the Renault-Samsung plant in Busan, South Korea, and will initially target the South Korean market, but also other countries on the Asian continent.
The new jointly produced models will be based on Geely Group’s Compact Modular Platform (CMA), which is capable of accommodating exclusively thermal or hybrid architectures. Renault, on the other hand, will contribute in terms of design – to make it more in line with the tastes of the Eurasian market, which is very different from that of China – and services for the customer experience.
Although there is no talk for the moment of electric cars or exports to Europe, this joint venture is part of the program “Renaulution” from Renault, which aims to update the RSM (Renault Samsung Motors) brand and its product portfolio through technology, engineering and services different from those of other manufacturers.
Luca de Meo, CEO of Groupe Renault, commented on this:
“We are delighted to enter into such an innovative partnership with the Geely Group, which has an impressive track record in the automotive industry. Through this project, Geely Holding and Groupe Renault are paving the way for the continuation of 20 years of successful and of RSM’s contribution to South Korean industry.”
Eric Li, chairman of Chinese giant Geely, said joining forces with Renault would be beneficial for everyone:
“Geely has a proven track record of creating mutually beneficial partnerships focused on sharing technology, expertise and ideas, with the ultimate goal of creating better and more sustainable products. We look forward to working with Renault and to achieve new synergies that combine the strengths of both parties to create value for the end user.”