Renault and Jiangling Motors Corporation Group (JMCG) have officially established a joint venture to further promote the development of the EV industry in China.

will enable Renault to expand its influence in China’s electric vehicle market

The co-operation follows a first agreement signed on 20 December 2018 and will enable Renault to expand its influence in China’s electric vehicle market, while JMCG will be able to integrate and leverage more resources, which is expected to promote its rapid growth in the future.

Under the deal, Renault will increase its share capital by £116m (RMB 1bn) to become a major shareholder of JMEV – a subsidiary of JMCG – with a 50% stake.

Francois Provost, senior vice president, chairman of China Region, Groupe Renault, said: “China is a key market for Groupe Renault. This partnership in electric vehicle business with JMCG will support our growth plan in China and our EV capabilities. As a pioneer and leader in the European EV market for 10 years, we will capitalize on our experience in EV R&D, production, sales and services.”

Qiu Tiangao, chairman of JMCG, said: Adhering to the concept of openness and cooperation, JMCG is one of the first domestic enterprises to introduce international strategic partners. By partnering with Groupe Renault, JMEV will be able to elevate its comprehensive competitiveness to a new level and penetrate into China’s electric vehicle market.”