The German newspaper Handelsblatt published an article on 11 December 2023 entitled ‘VW and Renault to co-develop BEV soon?

VW aims to launch a BEV costing less than EUR 20,000 (approximately JPY 3 million) by 2030, and it appears that a joint development partner is needed to make this a reality. Renault has been mentioned as a candidate, and if the two companies agree, “200,000 to 250,000 jointly developed BEVs a year would be sold under the VW badge”, the article states. However, it also adds that “negotiations are at an entirely early stage”.

Adding to the credibility of this report is the career of Renault CEO Luca de Meo. The Italian joined VW in 2009 after working for Toyota and Fiat, and held positions on the board of Audi and as CEO of SEAT before moving to Renault in 2020. Alongside his role as CEO of Renault, he is currently President of the Association of the European Automobile Manufacturers (ACEA). He is also fluent in German and is in close contact with VW executives. For Renault, which wants to increase BEV sales at affordable prices, the collaboration is a godsend, and there is no small chance that it will happen.

As the growth of the BEV market slows down due to reduced subsidies and early adopter demand, low-cost BEVs are essential to attract the majority who should follow in their footsteps. Apart from these two companies, several OEMs are planning low-cost BEVs from 2024 onwards.