Groupe Renault and Brilliance China Automotive Holdings Limited (Brilliance), who formed 1st January Renault-Brilliance-Jinbei Automotive Co., Ltd., a joint venture to manufacture and sell light commercial vehicles (LCV), signed on 16 October in Paris a Strategic Cooperation agreement with Chinese officials from Liaoning Province to further accelerate growth of LCVs in China. Renault also confirmed plans for three new electric light commercial vehicles for China within two years.
A delegation from the Chinese government, including Mr. TANG Yijun, the governor of Liaoning province, and Mr. Yan Bingzhe, vice-mayor of Shenyang, met with Renault Chairman and CEO Carlos Ghosn, senior vice president of Renault LCV business unit Ashwani Gupta, Brilliance Auto CEO Mr. QI Yumin, Brilliance Chairman Mr. WU Xiao An, and other senior executives from both Brilliance and Renault, at Renault’s corporate headquarters before signing the Strategic Cooperation agreement.
Groupe Renault and Brilliance signed a contract for the formation of a joint venture beginning in 2018, to manufacture and sell light commercial vehicles (LCV) under the Jinbei, Renault and Huasong brands with the goal of achieving 150,000 sales annually by 2022, and an acceleration of electrifying powertrains. Year-to-date since forming the joint venture, Jinbei brand sales hit 124,900 in September.
Renault-Brilliance-Jinbei Automotive Co., Ltd. is headquartered and has manufacturing operations in the Dadong District of Shenyang and is producing in three key segments—MPVs, medium vans and heavy vans and will soon add electric LCV models to its range.
Liaoning Province is one of China’s new automobile industrial hubs with over 120 auto & auto-parts manufacturers and is the largest provincial economy of Northeast China.
The Chinese LCV market forecast is for 3 million units per year, growing and moving rapidly. Increasing urbanization rate as well as an e-commerce explosion make new and optimized logistics as well as inner-city transportation schemes necessary for both people and goods. Urban last-mile delivery is expected to grow by 125% till 2030. China is also the biggest, fastest growing EV-market in the world.
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Source and photo credits: Renault