Renault boss calls for flexibility in transition to zero-emission cars

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The European Union has adopted a law that bans (with some exceptions) the sales of new cars that emit CO2 by 2035. De facto, this excludes cars using fossil fuels, but the The European Commission has nevertheless opened a path which would allow vehicles using e-fuel to be sold after this deadline. In any case, this very ambitious EU objective is the subject of reservations on the part of certain industry players. And as far as Renault is concerned, it believes that the pace set by the legislation will be very complicated to maintain.

In an interview with Les Échos, Lucas de Meo, the boss of Renault and president of ACEA (the European manufacturers' lobby), discusses his reservations. He is not against electric cars, which he considers to be part of progress. However, he believes manufacturers need more flexibility in the schedule. “To go from 10% market share for electric cars to 100% in 12 years is really very complicated”, a he indicated.

But while the press and public opinion are mainly focusing on the EU's objectives for 2025, the Renault boss explains that we must already look at the objectives for 2025 and 2030. He mentions the current state of the European market, with countries that have not yet exceeded 7% market share for electric vehicles, while the EU timetable calls for more than 20% market share in 2025. According to Lucas de Meo, if the current trend continues, manufacturers will have to pay more than 10 billion euros in fines, or stop producing 2 million hybrid cars.

There is no turning back

In any case, the Renault boss specifies that despite the slowdown in the car market electric vehicles, and his own reservations about the timetable imposed by the EU, going back would be a serious mistake. Indeed, manufacturers have already invested tens of billions of euros in the transition to electric vehicles, and abandoning the objectives set by the EU would amount to throwing the money invested by the industry out the window. Furthermore, he also believes that the efforts are now being realized, thanks to the arrival of new models.

Otherwise, for electric cars to attract more customers, Renault believes that it will be necessary to reduce costs, accelerate the deployment of charging stations, and offer cheaper carbon-free electricity. And for the group, one of the solutions it has chosen to reduce costs is the adoption of a new type of battery. Recently, Renault announced partnerships with CATL and LG to source LFP (Lithium Iron Phosphate) batteries. These are cheaper batteries than NCM (Nickel Cobalt Manganese) batteries, which will therefore make it possible to offer models at more affordable prices. But, in the interview, Lucas de Meo also admits that LFP batteries are heavier and have slower charging.

• EU legislation aims to end sales of new cars emitting CO2 by 2035
• But for the boss of Renault, the pace planned by the EU will be complicated to hold
• He believes that the industry needs flexibility in the timetable
• Despite his reservations and the slowdown in the electric car market, the Renault boss nevertheless believes that abandoning these objectives now would be a strategic error

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