Renault’s CEO Luca de Meo will announce a big shakeup in its vehicle lineup, including cutting out some models.
De Meo will announce all details about “Renaulution” on January 14. Although Renault still hasn’t revealed anything, some sources claim that the plan focuses on cutting costs and increasing profits. So, the first thing that comes to mind is axing some non-profitable cars, such as sedans or minivans.
According to sources, “de Meo wants to reduce Renault’s broad range of products and services by around 30%.”
Even though it is unknown which models will get the ax, low-sales models would most likely come first. For instance, the Talisman, a mid-size sedan, has recorded a 50% decrease in sales in 2019, with only 16,405 units delivered in Europe. Next might be the Espace and Scenic minivans (MPVs).
Renault also aims to reduce or altogether avoid the usage of “technology fields that are not immediately usable.” As the CEO agrees, geographic expansion has not produced the expected results. He further concluded that the company will now focus on making a productive strategy.
The new plan probably won’t hurt Renault’s excellent EV lineup in Europe. The Zoe, Renault’s all-electric hatchback, is the best-selling electric car in the EU this year, beating serious competition from Volkswagen and Tesla.
Nonetheless, “Renaulution” won’t affect anything with the company’s alliance with Nissan and Mitsubishi. There are also many ongoing projects, especially the Megane eVision concept, which would launch next year.
To get a live update on Renaulution on January 14, you can visit Renault’s official website.
