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Ghosn on the Renault product offensive

Carlos Ghosn, CEO of Renault, has said today he will take the French manufacturer on a product offensive, launching an average of eight new models a year until 2009.

Renault will launch a total of 26 new products in a bid to accelerate its vehicle launches. Half of them will expand the current line-up.

Renault's entire sale staff has been given virtually a three-line whip to attend Ghosn's presentation at the ICC today on the brand's future.

As part of the ‘Renault Commitment 2009’, the company also aims to achieve an operating profit margin of 6% in 2009 and sell an additional 800,000 units in 2009 compared to 2005.

The product offensive will result in widening the lineup in four directions:

  • Renewing the pillars of the existing lineup - the Megane family, Twingo, Kangoo and Master

  • Developing a luxury range: with five vehicles launched during the plan, Renault will double the volume of its sales in this segment

  • Entering new segments where Renault is currently not present, such as SUVs, 4x4s, crossovers and niche vehicles.

  • Developing products to support growth in markets outside Europe, such as with the Logan program.

    The next Laguna, which will be launched in 2007, will be re-positioned to be amongst the top three models in its segement.

    Renault predicts its sales outside Europe will grow from 27% of total sales in 2005 to 37% in 2009, an increase of 80%.

    Renault also announced what it would be doing in the alternative fuel market: “50% of gasoline-powered engines for sale in Europe in 2009 will have the ability to operate with a mixture of gasoline and ethanol. By the same date, all diesel engines will be able to operate with 30% diester2 (vegetable/animal oil).”

    It is preparing a full range hybrid, fuel cell and electric vehicles.

    “Renault will improve its competitiveness through a cost reduction program, optimised investments in all areas, and the benefits from synergies developed with Nissan,” said Ghosn.

    Carlos "Le Costcutter" Ghosn

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