Renault will end its partnership with Brilliance
- After ending in 2020 its agreement with its Chinese partner Dongfeng (which is also a long-time partner of Nissan) to the benefit of Geely, Renault has decided to end its agreement with Brilliance on utility vehicles. The Jinbei and Huasong brands were the brands that the French carmaker had bought for this purpose, and Renault included the quantities produced by these two Chinese brands in the total production of the Renault group, as it is done with Renault-Samsung, Dacia, Lada or Alpine.
- However, it is becoming clear today that the hopes placed in these brands have not given satisfaction, because Jinbei and Huasong have never exceeded 165,000 annual sales (165,000 units in 2018, 162,000 in 2019 and 156,000 in 2020) and these two subsidiaries are now experiencing such financial difficulties that Renault is considering separating with them. The initial project was to produce and market fully electric light utility vehicles under the three brands Jinbei, Huasong and Renault.
- Production was scheduled for 2022 at the Shenyang plant, owned by Brilliance, but this project will not see the day. The announced bankruptcy of Chinese brands Jinbei and Huasong does not appear to have an impact on the Brilliance brand which has a long-standing deal with BMW which needs it to produce its own models in China.
- For Renault, this is bad news, unless it helps to clarify it strategy in China, which is now focused on its recent agreement with Geely, itself a partner of the Daimler group for the Smart brand.
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