François Provost, head of Renault in Europe, calls for the implementation of a moratorium on the EU’s CO₂ targets with a 2030 horizon and warns that, under Chinese pressure, he will propose to the board a production cut.
The chief executive of the French brand has warned the EU that, to secure Renault’s future in Europe and facing pressure from Chinese manufacturers, they could be compelled to reduce vehicle production by as much as 300,000 units.
Para evitar que Renault en Europe tenga que tomar estas drásticas medidas, Provost asegura que la única alternativa pasa por que Bruselas flexibilice los objetivos de emisiones de dióxido de carbono que se han fijado con el horizonte 2030.
Estas declaraciones fueron vertidas hoy mismo en la París Automotive Summit y vienen precedidas por un aumento muy significativo de la competencia que se ejerce desde el gigante asiático, puesto que las marcas chinas son cada vez más competitivas respecto a las europeas.
En el artículo describimos cuáles son los cambios que plantea Renault en Europa: mayor margen en cuanto al cumplimiento de las metas de reducción de CO2, condiciones más favorables para los fabricantes locales, así como un mayor apoyo para el desarrollo de tecnologías y la fabricación europeas.
Renault in Europe: Calls for Lowering CO2 Emissions
The chief executive of Renault in Europe, François Provost, warned this Tuesday that he will have to cut the group’s production in the European continent by 300,000 vehicles if Brussels does not relax the emission targets set for 2030, in a context marked by competitive pressure from Chinese manufacturers.
“I am worried because if we do not secure the 2030 moratorium, I, a year from now, will have to propose to the board to remove cars and reduce production by 300,000 units in Europe,” Provost stated at the Paris Automotive Summit, which brings together several of the sector’s top executives.
The Renault CEO thus referred to the EU regulation that requires by 2030 the average emissions of new cars sold by each manufacturer to be reduced by 55% for passenger cars and 50% for vans compared with 2021 levels.
Intense competition from China
Provost recalled the fierce competition from China (he estimated the Asian giant to be between 30% and 40% more competitive than Europe) and warned how its market share has risen rapidly from 4% to 13% today.
“I’ve been telling this for two years because, obviously, if there is no agreement (China-EU), there will be a trade war. But I think, in any case, Europe will have no choice: the social impact will be such that, at some point, Europe will be forced to react,” he stated.
“It is not an agreement to close borders,” he added, “but to do what China did so well 30 years ago, because China had an industrial ambition and the conditions were: ‘No. They cannot import vehicles; they not only have to manufacture here, but rely on local suppliers, on the value chain and contribute technology.’ And that is precisely what must be proposed today.”
Provost, of Renault in Europe, stressed that “it is clear that we must limit the inflows of imported vehicles that do not bring any added value to industry, employment, and Europe.”
The EU and China reached last Friday an agreement on hybrid cars, which, according to European Trade Commissioner Maroš Šefčovič, would help prevent the entry into the EU of “millions” of Chinese automobiles over a four-year period.
According to the document obtained by Bloomberg, the EU will limit the import of Chinese hybrid vehicles to 350,000 units in the first year, and from the second year onward, this safeguard would rise at an annual rate of 6%.
