One of Renault’s environmental goals will cost the closure of a plant

The circular economy has followed Renault since the early 2000s. Within four years a new component will begin with the introduction of a new recycling pole. The French automobile manufacturer has just announced via Le Journal du Dimanche that it will generate a share of 2% of annual sales or more than one billion euros.

This ecological project costs him the Flins plant. Near Aubergenville, west of Paris in the Yvelines, Renault will close its assembly lines by 2025. A complete switch mentioned late last year should allow Renault to grow. Renault boss Luca de Meo told the newspaper:

“Our goal is to generate more sales than the assembly of cars by 2030.” A goal that is estimated at “one billion euros” […] in the circular economy “.

“Re-Factory”, a recycling center

The Renault Flins address, inaugurated in 1952, will therefore completely change its activities. It will move from assembling new vehicles for the brand to participating in an expanded recycling activity, particularly with the introduction of electric car components to increase the impact of the circular economy on future production.

Luca de Meo announced that he would “soon” detail the strategy of the French manufacturer in the electrical sector, “in order to maintain our leadership position in this key area”. He also implied that the advance of Renault and Nissan (Groupe Renault) over the Germans and Tesla was still relevant.

“We have a real competitive advantage because we are the first to receive batteries in the second life. “”

It is difficult to know when Renault will present its next report. At the beginning of January it was the opportunity to mark the manufacturer’s plan as a “technological” company for the next five years. An update of the results for the first quarter of 2021 is planned for next Friday.

“Renaulution”

The “Renaulution,” as it has been called internally, plans to create an “electric vehicle production pillar that could be one of the largest in the world,” as announced by the CEO, before it is stated, “But you have to help me.” At the same time as the restructuring of Flins, however, a new production center for electric cars will see the light of day in the north.

In addition to electricity, circular economy and technology, Renault also intends to accelerate its plans in emerging markets. In Latin America, India and South Korea, right where higher margin sales are made. By 2025, reducing fixed costs by 3 billion euros and lowering the breakeven point for production volume by 30% will be the main goals, which also illustrates the recovery.

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