Renault and Geely further partnership with new Brazil agreement
Pair of automotive giants has expanded on their existing agreement.
Renault Group and Chinese car manufacturing giant Geely have continued their partnership with a new agreement for operations in Brazil.
Under the new agreement, Geely will now take a 26.4 per cent stake in Renault do Brasil, the firm’s key operations arm in the country. As a result, it’ll extend an existing agreement, which now means the pair will work together to produce zero and low-emission vehicles by Renault do Brasil for both Renault and Geely Auto brands in the country.
François Provost, CEO Renault Group, said: “The partnership we are announcing today with Geely in Brazil marks a decisive step forward in our international strategy. It establishes an agile cooperation founded on industrial excellence and technological leadership.
“Once again, combining our strengths will make us more competitive, more innovative, and more responsive in a fast-evolving automotive market.”
However, Renault Group remains the majority shareholder, though the change gives Geely access to Renault do Brasil’s ‘industrial and commercial resources’.
Now, Geely Auto-branded vehicles will be produced alongside Renault models at the brand’s Ayrton Senna plant in São José dos Pinhais, Paraná. Renault do Brasil will also ‘distribute Geely Auto’s portfolio of zero and low-emission vehicles in Brazil’.
Eric Li, chairman of Geely Holding Group, said: “Our continued cooperation with Renault in exploring new markets and new opportunities will make for a win-win scenario as both Renault and Geely are able to leverage technology scales on a global level to bring the best products to market.”
