What is left of the Renault Nissan Alliance? Obviously not much, and even less so now. Renault employees recently received an internal memo that marks a step in the Alliance’s reorganization.
From November 6 they were urged to stop sharing files and data with Japanese manufacturers Nissan and Mitsubishi. The decision reflects a desire to review the relationship between the brands, with Nissan believing it has too often been relegated to second place in favor of Renault.
More equality and less synergy
Under a new 15-year agreement between the companies, they will now have “15% cross ownership”, a significant decline in the dominant position of Renault, which once owned 43.4% of Nissan. In addition, the joint procurement center that played a central role in the previous alliance is now over.
This reorganization was necessary in part to comply with antitrust legislation, which impose restrictions on the participation of one company in another. Closing a data library shared by two manufacturers is a specific example.
While the move may seem to mark the end of an era, a source close to the matter emphasized that the rivalry between the two companies is nothing new, saying: “We have always been competitors in the market, this term “competition” is not new”. The reorganization of the alliance is aimed at establishing a new dynamic of the partnership, not at a complete divorce.
Have jobs been saved?
However, unions remain concerned by the uncertainty over the future of 1,400 staff who work at the joint purchasing center or at Renault’s French plants, which make cars for Nissan.
Renault wanted to reassure its employees, saying that no one from the procurement center would be made redundant and that the reorganization was ongoing. The group also confirmed that cars that Nissan has entrusted Renault to build will continue to be produced at its French plants, and that the manufacturers will continue to share data on their joint projects.
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Source: Auto Plus
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