Renault Aims To Be Second Biggest Car Manufacturer In Europe: Report Photo:
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Trevor Collett | Apr, 11 2014 | 4 Comments

Renault is looking to overtake PSA Peugeot Citroen to become Europe's second biggest carmaker, according to reports this week.

Speaking with Automotive News Europe, Renault's Stefan Mueller said the company has set a deadline of 2017 to be number two in sales to Volkswagen; with the latter working to become the biggest carmaker in the world.

Mr Mueller said increasing profitability was the main focus for the French carmaker, along with focusing on improvements to its best-selling models.

“We are rejuvenating our line-up with the Clio and Captur [as] we have done very well with them,” Mr Mueller said.

“We also are introducing higher-margin models such as the new Trafic van and the new Espace [but] we will need other products beyond these four cars to achieve our profitability.”

While Dacia will assist with these goals - and Renault is aiming for Dacia to be number one in the entry-level category by 2017 - Mr Mueller said he doesn’t expect the budget brand to continue with its current level of growth.

One hurdle in front of Renault’s goal is the new Twingo city-car, along with the cost of meeting the European Union’s tougher CO2 targets for 2020; a cost Mueller said was “too confidential to share”.

“The Twingo is not a high-margin car, but we will still earn money with it. I would like to see the Twingo in the number two spot in this segment (behind the Fiat 500), but we won’t do anything just for the sake of volume,” Mr Mueller said.

Mr Mueller said Renault’s approach over the next five years assumes sales in European markets will be “flat”. Despite positive signs in Germany, Spain and the UK, Mueller said “I see a lot of question marks” in other markets.

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