Renault Increases Production to Meet Growing Demand

Paradoxically and contrary to what you may expect during so difficult economic recession times, Renault today announced that it will increase production at the Flins site in France (Clio III) and Novo Meste in Slovenia (Clio Campus, Twingo) to meet the growing market demand. The French manufacturer today announced that the Flins production facility will resume production of Clio Campus models from June to October 2009 while the Novo Mesto will produce more Twingo models thanks to the increase market demand in European markets.

Renault on the other hand repeatedly insisted that automakers must receive financial support from their local governments in order to cope with the economic recession and revamp their production lines.

The French government did approve a 3 billion euro loan to the domestic struggling automakers, demanding ailing companies to concentrate more on electric and hybrid models often referred to as the only vehicles capable of getting carmakers out of the crisis.

“We are very pleased with the loan granted to us by the French government. In light of the exceptional crisis impacting our entire industry, access to credit was indispensable for supporting our activity and that of the automotive industry. It will also enable us to pursue our developments and investments in sustainable mobility,” Carlos Ghosn, President of Renault, said.

And speaking of electric models, the French automaker will indeed rely on less-polutting cars, with the first model expected to arrive around 2012.

“In 2012, we will need these conditions, even if it is clear that the situation will have to change by 2020,” Jerome Perrin, head of Renault’s research, was quoted as saying by Autonews.