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Renault Group and Volvo Group, together with CMA CGM, have joined forces to create a new company managing the development of an all-new generation of electric vans.
Following the addition of CMA CGM to the venture, Renault and Volvo say they will continue to seek additional investment and business partners.
An all-new family of fully electric and software defined vehicles is to introduced by the new company, with production planned for 2026.
The parties behind the new company say these vehicles will be built on a new fully electric LCV skateboard platform that will offer “high modularity for different body types at low cost and breakthrough on safety requirements”.
“The new company will be fully independent, combining the agility of a start-up with the strong backbone of its industry-leading partners. Renault Group and Volvo Group aim to share investments in research and development and bring benefit of existing know-how, services, and industrial footprint to the new planned company. With smart capital allocations through the champions in each field, the new company will be based on a solid and efficient business model,” say the three parties, in a joint press release.
Commenting on the creation of the new company, Martin Lundstedt, President, and CEO of Volvo Group, said:
“We are excited to take yet another step in our journey towards sustainable transport solutions through the intended establishment of a new company. Volvo Group is keen to continue to offer its customers complete transport solutions that help them decarbonize their value chains. We see a growing demand for clean, efficient, and safe urban transportation and partnership and collaboration is key to achieve this,” says Martin Lundstedt, President, and CEO of Volvo Group.
Luca de Meo, CEO of Renault Group, added:
“Electrification and digitalization are paving the way for a revolution in the LCV market. Renault Group intends to lead this transformation while ensuring a robust and effective value creation. Today, we are very proud to embark in this journey with Volvo Group to bring the best of solutions to our professional customers. We also look forward to CMA CGM joining the company. The new company is the start-up minded, unmatched combination of the complementary assets of 3 champions: a leading truck maker, expert in tailored services, a champion of the global supply chains, and a European EV pioneer & LCV leader. All the ingredients are there to come up with something truly unique.”
Rodolphe Saadé, Chairman and CEO of the CMA CGM Group, also commented:
“As a leader in transport and logistics, the CMA CGM Group is proud to join forces with a major European carmaker and a leading global truck maker, Renault Group and Volvo Group, to create this new company of electric vans. This is a comprehensive and innovative partnership: not only are we investing in this project, but we will also bring our know-how and expertise to ensure inbound and outbound logistics, while some of these vehicles could ultimately be used to decarbonize our fleet. Through this new investment by our PULSE Fund in electric mobility, we are pursuing our commitment to accelerate the decarbonization of our activity and our sector.”
The joint venture is scheduled to start operations early 2024, depending on the completion of all regulatory approval processes. The subsequent entry of CMA CGM in the company is also subject to the completion of regulatory approval process.
The future company is planned to operate under its own corporate identity and will be based in France.