French multinational automobile manufacturer Renault has recently announced that they intend to take a “significant stake’” in Chinese electric car maker JMEV Motors.
According to the French automaker, Renault plans to take a significant stake in JMEV in an attempt to strengthen their presence in the world’s largest automotive market.
JMEV Motors, a Nanchang-based Jiangling Motors Corporation Group (JMCG) subsidiary founded in 2015, reportedly sold approximately 38,000 electric vehicles in 2017 with plans to sell roughly 50,000 electric vehicles in 2018. According to certain media outlets, the Chinese electric car manufacturer plans to produce three brand new vehicle platforms over the next five years as well as develop ten all-new models.
François Provost, Chairman of Asia Pacific Region and SVP of China Operations for Groupe Renault, stated the following in regards to the recent announcement:
“JMEV, the future joint venture with JMCG is fully in line with Groupe Renault’s strategy, aimed at establishing a solid position in the growing and high-potential market of EV in China. JMEV is an important local actor. This project is also very complementary with Groupe Renault other activities in China.”
Wan Jianrong, General Manager of JMCG, added:
“Groupe Renault is a globally renowned automaker with leading electric vehicle business in Europe. JMEV’s cooperation with Groupe Renault therefore, will promote its future development that fits JMCG’s strategy.”
JMEV Motors have since made an official statement regarding the recent announcement, explaining:
“JMCG has entered into cooperation agreements with Group Renault to further expand the fast-growing Chinese electrical vehicles market. Group Renault is a famous world-wide vehicle company and a leader in Europe e-vehicles industry, it will hold a significant part of JMEV through capital increase. This cooperation is conductive to the rapid development of JMCG new energy in the later period.”
The agreement between Renault and JMEV will reportedly be reviewed by relevant Chinese authorities during the first half of 2019. Both automakers are expected to provide more information regarding their new cooperation at an upcoming event in Nanchang, China.