French automaker Renault has revealed further details about its new spinoff brand ElectriCity, which will utilize three of its almost dormant plants to boost electric vehicle (EV) production and regain market share.
The new wholly-owned subsidiary, ElectriCity, will operate three plants in France, namely Douai, Maubeuge, and Ruitz, aiming to produce 400,000 units of EV each year, by 2025. This conversion process is expected to create 700 new jobs.
Luciano Biondo, chief of ElectriCity, told the media that there was still a lot of work to be done since all the plants are working at very low capacity. Douai produced 25,000 units compared to its 300,000 capacity while Maubeuge rolled out 100,000 of its 250,000 unit capacity. He added that the plants have yet to reach their 3-4pc vehicle price tag to manufacturing cost at the line, due to operational inefficiencies.
Reports indicate the Renault has already spent $1.2bn on this development and plans to set up a dedicated research and development center under ElectriCity in order to scale up in the EV space. Further details are expected to surface by the end of June.