Renault CEO Questions Electric Vehicle Timeline

Luca de Meo, CEO of Renault, has expressed concerns about the feasibility of transitioning to electric vehicles (EVs) in Europe by the 2035 deadline, citing a need for cost-cutting measures amidst weak domestic market demand. In a recent interview, he emphasized the importance of regulatory flexibility and a comprehensive approach to vehicle emissions, rather than merely focusing on tailpipe outputs. The backdrop of the recent EU elections has intensified discussions around potentially revising the ban on petrol and diesel car sales. De Meo acknowledged that Renault is not currently on track to meet its goal of 100% EV production, attributing this to both customer demand and broader market challenges, including competition from China. He cautioned against abandoning the transition objectives entirely, despite the slowdown in EV sales across Europe, which only saw a 1% year-on-year increase in H1 2024. Overall, the automotive sector is grappling with regulatory unpredictability and economic pressures, complicating the shift to electric mobility.