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Auto Shows Renault: Production deficit expected at 500,000 cars, heavy impact of shortages!

10:45  22 october  2021
10:45  22 october  2021 Source:   ouest-france.fr

automotive industry: Renault writes to billions of loss again black numbers

 automotive industry: Renault writes to billions of loss again black numbers The French carmaker Renault wrote black numbers again in the first half of the year. As the company announced on Friday, the net profit account for the Group was 354 million euros. In the same period of the previous year, Renault had earned a loss of 7.29 billion euros. Nevertheless, the result remained behind the 970 million euros profit in the first half of 2019, ie before the Corona crisis.

Renault : déficit de production attendu à 500.000 voitures, lourd impact des pénuries ! © Pixabay Renault: Production deficit expected at 500,000 cars, heavy impact of shortages! Many factories had to close around the world for lack of components, causing a decrease in sales of 22.3% in the third quarter.

The various shortages have a heavy impact for Renault. The Group announced Friday, October 22 anticipate a loss of production "close to 500,000 vehicles over the year" related to the component crisis. 170,000 vehicles could not be produced in the third quarter, with many closed factories around the world for lack of components, including semiconductors.

The French group, however, confirmed its operating margin forecasts over the year, up to 2.8% of turnover. Renault sold 599,027 vehicles in the third quarter 2021, a 22.3% drop compared to a third quarter 2020, which had marked the recovery of the automotive industry after the paralysis of the first months of COVID.

Renault and the Chinese Geely (Volvo) will produce hybrid models

 Renault and the Chinese Geely (Volvo) will produce hybrid models © SP / RENAULT RENAULT and the Chinese Geely (Volvo) will produce together Hybrid models French Renault goes to Chinese Geely to develop The cars of the future to "advanced technologies". The Chinese car manufacturer Geely (Mother House of Volvo Cars) announced Monday 9 August that he was allocated with French Renault in the cars of the future.

>> To read also - at Renault and Stellantis, the uncertainties lead the morale of employees

Limited turnover

The decline in sales, limited to -13.4%, "confirms the positive impact Trade policy of the group oriented towards a better valuation of sales ", according to Renault. "Actions undertaken to continue lower costs and optimize the valuation of our production allow us to confirm our guidance for the year despite the deterioration of component availability in the third quarter and visibility reduced for the fourth quarter "," said the Group's financial director, Clotilde Delbos.

It's not just car buyers effected by shortages, it's the entire global economy .
It's not just car buyers effected by shortages, it's the entire global economyThose ripple effects were detailed today by The New York Times in "How Car Shortages Are Putting the World's Economy at Risk." It's an insightful, recommended read.

usr: 1
This is interesting!