It is difficult to start within 3 years; Renault Trucks of Volvo Group is expected to enter the East Wind
In the industry around Dongfeng Renault - this will be the last time a Chinese-made joint venture project in China is to be completed. The reporter learned from relevant internal sources last week that the Dongfeng Renault project has been stranded indefinitely and the project will be difficult Initiated within three years, at the same time, the discussions and negotiations surrounding the final settlement of Dongfeng Renault were suspended.
Allegedly due to Nissan’s opposition
Dongfeng Renault has been showing signs of development since Renault Megane, the first locally made car, was announced from the negotiation of the project to Renault. However, insiders from Dongfeng Motor revealed to reporters last week that Dongfeng Renault’s car joint venture project has been stranded, mainly because of Nissan’s opposition. For this reason, the reporter sought confirmation of Renault and Nissan’s representative offices in China, but they did not get a clear answer.
Although analysts previously claimed that due to the global strategic partnership between Nissan and Renault and the identity of the product production platform, Dongfeng Renault's development in China will use Renault-Nissan's global production platform to reduce costs.
However, from the above-mentioned insider's description, Nissan does not want to achieve Renault, Nissan's "dual brand" strategy in the Chinese market.
In fact, according to Renault’s Asian strategy, its main focus is Renault’s Samsung holding company in South Korea. Earlier, Renault Nissan President Carlos Ghosn once said that Renault Samsung's SM3 small cars will use Japanese exports, but Renault Samsung's sales in South Korea will be linked to Renault. This tone is clearly in conflict with the introduction of the Dongfeng Renault joint venture in China.
Dongfeng Nissan, Dongfeng Nissan, which is Dongfeng Nissan’s largest joint venture company, is also the most important component of the Dongfeng sedan segment. Dongfeng Nissan and Dongfeng Nissan’s joint venture company Dongfeng’s other joint venture company, Shenlong Motors’ sales, all broke through last year. 200,000 vehicles, but no less than 100,000 yuan, and including five 2.0-volume products, Dongfeng Nissan's profitability is significantly stronger. At the same time as Nissan’s overall layout in China, Dongfeng Renault, which follows the Renault production platform, will directly compete with Dongfeng Nissan’s products once completed.
“Although Renault’s Nissan is an alliance, it operates completely independently in the global regional market. At present, it has not seen a situation in which Renault and Nissan have coordinated and retreated in a regional market. In this respect, it is paired with PSA’s Peugeot and Citroen. There is a big difference in brand strategy.†An automotive analyst interprets the market competition relationship between Renault and Nissan.
The second "Dongfeng Renault" speeds up
Although Dongfeng Renault as a sedan project has been shelved, the second version of Dongfeng Renault is accelerating.
On January 22nd, Dongfeng Motor announced on the Hong Kong Stock Exchange that Dongfeng and Nissan are in talks with Volvo regarding the latter's intention to invest in the heavy and medium commercial vehicle business of Dongfeng Motor Co., Ltd. The focus of the final cooperation fell on Renault Trucks, part of the Volvo Group.
According to the agreement initially reached in the negotiations, the R&D center relocated to Wuhan will be partially returned to Shiyan to form a new R&D center. After the establishment of the joint venture company, Volvo's investment in Shiyan may reach 10 billion yuan. Previously, Dongfeng Limited's commercial vehicle company was responsible for the production and development of commercial vehicle products. However, compared with the rapid development of Dongfeng Nissan's sedan project, the Dongfeng Limited Commercial Vehicle Plate has been relying on Dongfeng Motor's “homesteadâ€. It is reported that after the joint venture with Volvo, Nissan will gradually fade out of the limited commercial vehicle segment of Dongfeng. However, the complete withdrawal of Nissan from Dongfeng Commercial Vehicles depends on the final negotiations of the three parties.
As a subsidiary of Dongfeng Motor and Nissan Motor Co., Ltd., Dongfeng Motor Co., Ltd., Dongfeng Commercial Vehicle Co., Ltd. is a major part of the Dongfeng Motor Company's truck company established on July 1, 1999 and Dongfeng Liuzhou Motor Company, Dongfeng. Xinjiang Automobile Company, Dongfeng Hangzhou Automobile Company, Dongfeng Nissan Diesel Automobile Company, and Dongfeng Chuangpu Special Purpose Vehicle Factory were reorganized.
After Dongfeng Commercial Vehicle's joint venture with Volvo, the biggest possibility is to settle into the current Dongfeng Liuzhou Automobile Company. Dongfeng Liuzhou Dongfeng is currently the most marketable and profitable company in Dongfeng's overall commercial vehicle segment. In addition to producing popular passenger cars, its main products include medium and heavy trucks, and commercial vehicles, as well as complete commercial truck development capabilities.
Earlier, there was news that Dongfeng Limited Commercial Vehicle Co., Ltd. in Shiyan was already producing Renault truck engines. Even if the Dongfeng Renault commercial vehicle project is established, it does not mean that it has anything to do with the Dongfeng Renault sedan, because after Renault sold the truck business to Volvo Group as a whole, there would be no relationship between the two except for brand sharing.
View related topics: Dongfeng Renault project tracking report
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