Geely and Renault Group announce the signing of an agreement to create a company with a global reach that focuses on the development, production and powertrain supply (engines and transmissions) hybrid and thermal with high energy efficiency. Each conglomerate will have a 50% shareholding.
The new company will be an independent global supplier, responsible for producing next-generation hybrid powertrains and creating decarbonized and low-emission technologies, from the management that is carried out in five research and development centers Worldwide.
In principle, the new company is expected to supply its technology and developments to the different brands linked to the conglomerates that comprise it, including Renault, Dacia, Geely Auto, Volvo Cars, Lynk & Co, Proton, Nissan and Mitsubishi. Subsequently, the idea is to supply engines and transmissions to other manufacturers.
They consider that the new company has 17 engine and transmission production plants, located on three continents and in which it would employ nearly 19,000 officials. The objective is to achieve a combined annual production capacity that exceeds five million motor-transmissions, both internal combustion schemes and hybrids and plug-in hybrids (PHEV).
By combining the industrial management of Geely and Renault Group, together with the new company, the goal is to impact the production of powertrains in more than 130 countries and offer solutions for 80% of the global market for internal combustion engines.
“As the Renault Group accelerates its transformation with Renewal To capture the value of the entire new automotive value chain, we are pleased to agree to an ambitious partnership with Geely, with a view to continuing to develop combustion engine and hybrid engine technologies, which will continue to be essential elements of the supply chain. automotive supply in the world in the coming decades. We will be able to offer state-of-the-art powertrains and electrified solutions to many car brands around the world, thus unlocking the market potential of this low-emission technology“, he pointed Luca de Meo, CEO of the Renault Group, announcing the agreement with Geely.
This alliance adds to the agreements previously agreed by both parties, where Geely will become part of the business that Renault has in Korea.
