China - The two companies have teamed up and signed a strategic agreement with Chinese officials from Liaoning province, which is situated in the northeastern part of the country. Here, the companies will produce three new light commercial vehicles (LCVs) from their plant in Shenyang.
"Ten months after our initial launch of our joint venture in China with Brilliance, we have a local management team in place, LCV product plan to deliver further growth with seven LCVs for China including three electric LCV models, starting in early 2019," said Carlos Ghosn, Renault chairman and CEO. "Our agreement with the local government in Liaoning province will strengthen our foundation for growth."
The plant in Shenyang currently makes models in three different segments: MPVs, medium-duty vans and heavy-duty vans. The companies hope that the addition of the electric LCVs will help them increase market share, stating that urban last-mile delivery is "expected to grow by 125% till 2030." Electrification in China was one of the key themes of discussion at the 2018 Global Automotive Forum.
Renault and Brilliance have revealed plans to sell 150,000 units annually by 2022, though are close to hitting the target early. They have sold 125,000 units since starting their joint venture in September 2017.
Liaoning province is home to around 120 carmakers and automotive suppliers, and is described as a "new automobile industrial hub."
