Photo: Nissan
Last month, French automaker Renault said all options to separate its EV business were on the table, with the possibility of public listing. On Friday, its Japanese alliance partner Nissan claimed it's too early to confirm if it would spin off its EV division like Renault, Reuters reported. The announcement comes as speculation rises whether Renault would consider reducing its stake in Nissan.
On Friday, Ashwani Gupta, Nissan's COO, said it was too early for the Japanese giant to consider separating its EV business to catch up with competitors due to its diversified market and product portfolio.
To catch up with its competition and make inroads in the global market, Renault announced plans were underway to separate its EV business. On Tuesday, the French automaker announced that it would sell a third of its South Korean unit to Chinese company Geely for $207 million. The move frees up funds for the automaker, whose sales dropped for the third time last year.
Renault is a major stakeholder in Nissan, owning 43%, while Nissan owns 15% of the French automaker with no voting rights, a source of friction between the two alliance partners. In 2020, Renault and Nissan ruled out a merger and doubled down on a plan to cooperate more closely on automobile production to cut costs and salvage their sour business relationship, CNBC reported.
During the announcement, Nissan's COO told reporters that they would continue to support the French automaker's endeavors. But, it still needs to focus on both its electric vehicles and ICEs, hybrid cars included.
Renault, Nissan, and Mitsubishi have been strategic partners since 1999, under the Renault-Nissan-Mitsubishi Alliance. Together, the alliance sells one in nine vehicles globally, with a record 10.6 million car sales in 2017.
The alliance's top-selling EVs include the award-winning Nissan Leaf and the Renault Zoe.
To catch up with its competition and make inroads in the global market, Renault announced plans were underway to separate its EV business. On Tuesday, the French automaker announced that it would sell a third of its South Korean unit to Chinese company Geely for $207 million. The move frees up funds for the automaker, whose sales dropped for the third time last year.
Renault is a major stakeholder in Nissan, owning 43%, while Nissan owns 15% of the French automaker with no voting rights, a source of friction between the two alliance partners. In 2020, Renault and Nissan ruled out a merger and doubled down on a plan to cooperate more closely on automobile production to cut costs and salvage their sour business relationship, CNBC reported.
During the announcement, Nissan's COO told reporters that they would continue to support the French automaker's endeavors. But, it still needs to focus on both its electric vehicles and ICEs, hybrid cars included.
Renault, Nissan, and Mitsubishi have been strategic partners since 1999, under the Renault-Nissan-Mitsubishi Alliance. Together, the alliance sells one in nine vehicles globally, with a record 10.6 million car sales in 2017.
The alliance's top-selling EVs include the award-winning Nissan Leaf and the Renault Zoe.
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