Renault records a fifth year of decline in global sales

New decline in Renault sales. The diamond brand announced on Tuesday, January 17, that it had sold 1.46 million cars and utility vehicles worldwide in 2022, a figure 9.4% lower than the previous year and -15% if we take into account withdrawal from the Russian market.

“Optimistic to recover growth”

This is the fifth consecutive year of decline in sales, after the record reached in 2017 with 2,671 million sales worldwide (the “commercial record” of the Renault group, with other brands including Dacia, had been reached in 2018 with 3,884 million Of units). The manufacturer “since then has reduced its range to refocus on the most profitable models, a strategy to which the effects of the covid and semiconductors have been added,” underlines the Reuters agency.

“We end up with an entry point in 2023 where we have more backlog, a little more inventory, and a situation that has stabilized. So yes, we are bullish for
a return to growth,” said the brand’s general manager, Fabrice Cambolive, during a press conference.

“Electrified” sales success

Positive point: Renault is pleased with the success of its electrified range, in particular by winning 3rd place in Europe behind Toyota and Tesla. Its hybrid models -such as its latest SUV, the Austral or with the Arkana- and 100% electric -Mégane e-Tech and Zoé- represent 39% of sales to individuals on this continent.

Competition remains fierce on the electric front, as evidenced last Friday by Tesla’s announcement of a sharp price cut in its main markets. Fabrice Cambolive acknowledged that this decision, which brings the price of the Model 3 and Model Y closer to that of the electric Mégane, constituted a “challenge” for
industry.

To improve its margins, Renault is also committed to reinforcing its offer of larger vehicles and increasing its market share in the private market (+8 points in one year to more than one in two sales in Europe), more profitable than sales to companies or rental companies.

43% of sales outside of Europe

With 634,134 units, Renault sales outside Europe represent 43% of the total (44% in 2021). Brazil stands out as the second market for the diamond brand, ahead of Germany. In more general terms, Renault achieved 283,116 sales in South America, 8% more, and is satisfied with the success of the Kwid, the fourth best-selling model to individuals on this continent.

Turkey becomes Renault’s fourth market, with just under 100,000 units, and the brand is also pleased with its progress in Morocco and India.

The other brands of the group, Dacia and Alpine, must publish their commercial results this Wednesday. The financial results of the Renault group will be presented on February 16.