Lightweight, digitization, electrification… As the generational replacement of consumer groups and the concept of sustainable development become more popular, the Chinese auto market is showing great changes. Relevant multinational companies are also keeping a close eye on these trends and incorporating them into China’s development strategy.
Since its establishment 123 years ago, the Renault Group, which owns multiple auto brands, recently released a new strategic plan for “Renaulution”. Luca de Mayo, the CEO of the group, said that the new plan aims to shift the strategic focus from sales to value production to ensure sustainable profitability.
“China will play an important role in Renault’s new global strategy.” said Shigemai, CEO of Brilliance Renault Jinbei Automobile Co., Ltd., “Looking ahead, Renault will reshape its business model in China, utilizing its assets in China and leverage China’s competitive industrial ecosystem to develop new mobile solutions for both China and the global market.”
The rapidly growing Chinese electric vehicle market has become the focus of Renault’s strategic layout in China. Shigemai revealed that as a joint venture between Renault, Nissan and Dongfeng, the pure electric SUV “Renault eNuo” produced by Easyjet New Energy Automobile Co., Ltd. has been officially launched in May 2019, and its sister model “Dacia Spring Electric” would start to export from China to Europe in December 2020.
Renault also take the lightweight of China’s auto market as an important development opportunity. Shigemai revealed that, relying on its leading advantage in the light vehicle field, Renault is working with its Chinese partners to develop and upgrade the Jinbei model, and plans to launch a full range of light commercial vehicles by 2023. Thanks to the transformation plan implemented in 2020, the profitability of Brilliance Renault Jinbei Automobile Co., Ltd. is undergoing a structural recovery and is expected to achieve sustainable development.
In addition to vehicle companies, other multinational giants in the auto industry chain are also closely following the trends in the Chinese auto market.
The well-known tire manufacturer Pirelli recently held a communication meeting in Shanghai to showcase its high-value products and technologies while reiterating its Chinese market strategy.
“China is one of the markets that Pirelli attaches great importance to. In the face of the booming Chinese automotive market, and the market trends of digitalization and electrification, Pirelli has already carried out a forward-looking layout.” Giuliano Menassi, CEO of Pirelli Asia Pacific, said that Pirelli would work closely with partners to provide high-quality and comprehensive solutions for the Chinese market and customers under the guidance of high-value and customized strategies.
Increasing R&D investment in China has become the consensus of multinational giants who are deeply involved in the Chinese auto market. Information from Pirelli shows that a research and development center applying the latest innovative technology will be located in Yanzhou Huaqin Industrial Park, Shandong, adjacent to its consumer tire production base.
Shi Gemai revealed that at the Renault-Nissan-Mitsubishi Alliance’s Joint Innovation Center in Shanghai, more than 100 experts and engineers are conducting research on next-generation technologies such as new energy, autonomous driving and Internet of Vehicles. As one of Renault’s six global design centers, Renault Shanghai Design Center tracks the most cutting-edge technologies and trends in the Chinese market and becomes Renault’s “bridge connecting the global and Chinese markets.”