Renault-Nissan to launch 2 shared vehicle platforms by 2016

Article by Anita Panait, on February 8, 2014

Renault-Nissan will roll out two shared vehicle platforms -- with each underpinning over 3 million vehicles -- by 2016 as part of a cost-cutting plan, chief executive Carlos Ghosn disclosed. While rival carmakers build multiple vehicles and derivatives from one platform, Ghosn wants more and has even predicted that by 2016, the entire auto industry will have only five platforms underpinning a huge number of vehicles.

"We are going to be really leveraging better than most of our competitors in size and scale," Ghosn told Automotive News. "If you have the right strategy and product, size matters. Size will really protect you from your competition."

The first so-called Common Module Family platform is bound to underpin C/D-segment sedans, crossovers and SUVs, including the Rogue. Around 75 percent of the carmakers’ total vehicle output will be underpinned by four platforms by the end of the decade.

The strategy is expected to allow Renault and Nissan to save EUR4.3 billion ($5.8 billion) annually by 2016, up from a previous savings target of $5.4 billion and from realized savings of $3.78 billion in 2013.

To achieve that, the carmakers will have to step up their joint operations in manufacturing, logistics, r&d, purchasing and human resources.  Renault and Nissan inked an alliance in 1999, and 10 years after, the carmakers saw annual savings of $2.02 billion.

Ghosn has remarked that a deliberate approach was needed to ensure lasting teamwork and to prevent a takeover mentality that was the failure of the DaimlerChrysler AG merger.

"After 15 years of working together, we are capable today of envisioning things that were practically impossible to execute five years ago," Ghosn said. "People would have spent their time resisting and explaining why they cannot do it, instead of making it happen."

Topics: renault, nissan, platform

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