Renault and Geely Sign Agreement To Expand Business In Brazil

Renault Group and Geely Holding Group have announced a framework agreement that involves the production and sales of zero- and low-emission vehicles in Brazil. Geely will invest in Renault do Brazil, the Brazilian subsidiary of Renault, and become a minority shareholder.

This will allow Geely access to localised production, sales and services resources. However, the joint venture of Renault and Geely remains subject to agreements with appropriate approval of relevant regulatory authorities. 

Renault do Brazil will provide two production facilities to Geely at its Ayrton Senna Complex in São José dos Pinhais, which will be used to make the aforementioned zero- and low-emission vehicles. Renault do Brazil will also become a distributor of Geely’s products in Brazil. Both brands expect to increase their market share in Brazil, which accounts for 44 per cent of sales in Latin America.

Luca de Meo, Chief Executive Officer, Renault Group, said: “These are great assets that we want to leverage today with this new cooperation in Brazil. It will allow us to consolidate our industrial footprint in the state of Paraná and to further strengthen the position of the Renault brand on this key market.”