- English
The CEO of Renault is Luca De Meo. He expressed some doubts about the timeframe for the transition to electric vehicles in Europe. He argues that the carmaker needs to cut costs if it wants to meet its electric car targets.
The transition to electric vehicles plays a crucial role in reducing global carbon emissions. The pace of this transition will reshape the car industry.
There have been growing calls to drop the EU’s decision to ban the sale of cars with combustion engines from 2035. It will be reviewed in 2026.
„We need a bit more flexibility on timing. However, it would be a strategic error to simply abandon the target because of the current market slowdown.,” said Luca De Meo
Asked about Renault’s ambition to switch 100% of its European car production to electric vehicles in the context of a weak domestic market, De Meo said: ‘The truth is that we are not yet on the right trajectory to reach 100% electric cars by 2035. That is the truth. If customers don’t follow us, we are all responsible. We have to reduce costs”.
The automotive sector has faced various challenges. These include the uncertainty of the regulatory framework and competition from China, in addition to the cost of living crisis in domestic markets, which has had an impact on the transition to electric vehicles.
Global sales of electric cars are up 35% in 2023 but down in 2024. However, in June this year, new car sales in the EU rose 4.3% year-on-year to their highest level since July 2019, while registrations of battery-powered cars fell slightly.
