2023-11-15 18:23:00
The domination of Chinese brands in the electric segment “is increasing month by month around the world”, recalls a recent study by Rexecode. Thus, 8 of the 10 best-selling models on the planet come from Chinese brands.
Having been behind the wheel of Renault for three years, Luca de Meo is aware that he has to go quickly. Very quickly. “European manufacturers must catch up. The Chinese and Tesla are a generation ahead. At Renault, I have to do two generations in one. This is why I created Ampere. To play in the same way as the Chinese,” he explained, during a debate at the French Institute of International Relations (Ifri), on November 8, 2023.
A “pure player” in electricity, the Ampere subsidiary took shape at the beginning of November 2023, with around 11,000 employees, a third of whom are engineers. It remains to attract investors. Hence a show like the marketing ace likes to do which was dedicated to them at the Accord Arena in Paris. Ampere, in which the two Alliance allies, Nissan and Mitsubishi Motors, have promised to invest up to 800 million euros in total and the American semiconductor giant Qualcomm is also due to take a stake, wants to enter into Stock market in order to raise new money for its investments.
The operation is expected in the first half of 2024, “subject to favorable market conditions”. Ampere’s valuation is estimated between 8 and 10 billion euros, the same as Renault currently (10.5 billion as of November 15, 2023). Le Losange could also soon sell its 28.4% stake in Nissan to free up funds.
Luca de Meo, general director of Renault, presents the next electric Twingo, manufactured in Europe, which he promises like the Dacia Spring at -20,000 euros. “We will do it in 2 years from design to market, in order to reach the speed of Chinese manufacturers. @LePoint pic.twitter.com/hibCv7VXUf
— Olivier Ubertalli (@oubertalli) November 15, 2023
“It is also a way of reinventing the Renault brand and making it a completely electric brand in 2030 […]. It’s a bit like in the army, you send acrobats five kilometers to the front,” assures Luca de Meo. The CEO promises “double-digit” market share and revenue growth and “delivers dividends to shareholders and the group more quickly”.
An electric Twingo for less than 20,000 euros
Ampere is targeting 300,000 vehicles sold in 2025 and one million in 2031, or half of what Renault sold worldwide in 2022. The subsidiary wants to achieve a turnover of 10 billion euros by 2025, compared to 46 billion for the Renault group in 2022, promises an annual revenue growth rate of more than 30% between 2023 and 2031, and an operating margin of more than 10% in 2030, compared to 7.6% in the first half of 2023 for Renault.
With which electric cars? Seven models by 2031, including the R5 in 2024, the R4 in 2025, the new electric Twingo. The latter, formerly designated under the code “Legend”, will be sold for less than 20,000 euros. “We will make it at that price like the Dacia Spring [aujourd’hui fabriquée en Chine, NDLR], but made in Europe. We will do it in two years from design to sale in branches in order to reach the speed of Chinese manufacturers,” promises Luca de Meo. Will this be enough to counter the arrival of the Chinese giant BYD in Europe? Response within five years.
#Ampere #Luca #Meos #bet #catch #Chinese #electric #sector