François Provost, chairman of Renault Group, officially announced the company's entry into the Korean electric vehicle market. He also outlined a group-level electrification strategy to achieve a 50-50 split between EVs and hybrids by 2030.
"The time has come for Renault Korea to consider full electric vehicle production," Provost said at a press briefing with Korean media on Saturday. "As Renault Group leads the EV trend in Europe, we are looking at the timing and plans to improve the foundation so that we can produce fully electric vehicles in Korea, in line with the group's direction."
Renault Korea has yet to launch an EV in the domestic market. Its only involvement in electric vehicles has been a contract manufacturing deal with EV brand Polestar to produce the Polestar 4 sport utility vehicle.
Renault Group's declaration to enter the Korean EV market reflects the central role electrification plays in its broader strategy. "Of the 22 new models allocated going forward, 16 are pure electric vehicle lineups," Provost said. "Renault Group plans to continue investing in EVs, and this strategy will greatly benefit Renault Korea as it shifts its focus to electric vehicles."
However, Provost drew a clear line against joining the price war driven by Chinese automakers. "Chinese automakers are accelerating price-cutting pressure worldwide," he said. "Renault Group will not jump into that competition. We intend to focus on stable and reasonable pricing while trusting in the strength of our products."
Provost also expressed his intention to strengthen collaboration with Korean companies including LG Energy Solution (373220.KS). "Renault has built its own supplier ecosystem within Korea," he said. "We have LG Energy Solution and LG Electronics (066570.KS), and we are cooperating with POSCO Holdings (005490.KS) not only on steel sheets but in multiple areas."
"Renault Group started the automotive battery business with LG Energy Solution in the Korean market in 2013," he added. "LG Energy Solution will remain a core strategic partner for Renault Group going forward."
Asked whether the partnership with Geely could reinforce the perception that Renault Korea is a Chinese car brand, Provost responded, "Both groups share a partnership strategy of utilizing the same win-win resources. Renault Korea can build vehicles tailored precisely to Korean market demand and requirements with localized technology."
Renault Group and Geely Group jointly established Horse Powertrain, an automotive powertrain production company, in 2024. Geely Group is also Renault Korea's second-largest shareholder.