Renault “may disappear if it does not soon receive help to deal with the crisis caused by the coronavirus, but the major automaker must adapt to the situation.
This was stated by French Finance Minister Bruno Le Mer to Radio Europe 1. “Yes, Renault may disappear,” Reuters quoted him as saying. According to him, the company’s largest plant in France, located 40 km west of Paris, should not be closed in order to save as many jobs as possible and to keep Renault competitive.
But survival requires at least a 5 billion loan, which the minister has not yet signed, and talks on it continue. Le Mer added that the company’s president Jean-Dominique Senard was working hard on a new strategic plan and had the support of the French government.
Paris often urges French automakers to return to the country the production they have exported to Europe and around the world if they want government support. Authorities also want companies like Renault to produce more green cars.
The strategy for reforming Renault’s alliance with Nissan and Mitsubishi is due to be presented on May 27. Nissan is discussing cutting 20,000 employees, focusing on Europe and emerging economies, the Kyodo news agency reported on Friday.