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Geely and Renault Group Sign Framework Agreement to Create Leading Powertrain Technology Company

New global company to develop, produce and supply advanced hybrid and low-emission powertrains • Framework agreement envisages Geely and Renault Group holding 50% stakes in new company • New partnership aims to become leader in next-generation hybrid and highly efficient powertrain solutions to meet worldwide demand for years to come • Initiative forms part of ‘Renaulution’ transformation at Renault Group and Geely’s transition to intelligent e-mobility services • New company will supply multiple brands worldwide with complete range of best-in-class powertrains including electrified solutions • On completion, the new company will comprise 17 powertrain plants and 5 R&D centers in 3 continents with around 19,000 employees, supplying 130 countries • New organization structure, combining a strategic footprint and attractive business model, will welcome new partners in due course

8th November 2022, Hangzhou, HongKong SAR, China and Boulogne-Billancourt, France – Geely Holding Group (Geely Holding), Geely Automobile Holdings Limited (Geely Auto HK.0175) (collectively referred to above as “Geely”) and Renault Group have signed a non-binding framework agreement to create a new global leader to develop, manufacture and supply best-in-class hybrid powertrains and highly efficient ICE powertrains.

Under the framework agreement, Geely and Renault Group will hold respective 50-50 equity stakes in the new company.

The new company will be a standalone global supplier of propulsion system solutions, producing next generation hybrid propulsion systems, and developing carbon free and low-emission technologies from five global R&D centres. At launch, the new company is expected to supply multiple industrial customers including Renault, Dacia, Geely Auto, Volvo Cars, Lynk & Co, Proton, and also Nissan and Mitsubishi Motors Company. In future, the partnership could also offer powertrain technologies to third-party car brands.

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