The conversations between Renault and Volkswagen According to insiders, talks about a common entry-level electric car have failed. In the end it was not possible to find a common solution, a person familiar with the process told the Reuters news agency. The Volkswagen board decided against the project on Tuesday, another insider confirmed to manager magazine. The German car manufacturer will now continue work on a cheap electric car on its own.
The negotiations between Renault and Volkswagen were already well advanced. A spokeswoman for Renault’s Ampere electric car division and a VW spokesman declined to comment on the outcome of the talks. There are various options, said the VW spokesman. A decision on the entry-level electric car has not yet been made.
However, it is expected that Volkswagen will make a decision in the coming weeks: At the annual press conference, VW brand boss Thomas Schäfer (54) promised an entry-level electric car in the range of around 20,000 euros by 2027 and said that there were various options checked. The development of a car usually takes at least three years.
Volkswagen’s works council head Daniela Cavallo (49) in particular had internal Concerns about the community project
expressed and called for a more detailed examination of alternatives. The works council was particularly irritated that Renault was supposed to take over the entire production of the car. Renault has announced its electric small car Twingo for 2026. The company has repeatedly emphasized that it can build the Twingo on its own and does not necessarily need a partner. An insider said that after the talks with VW ended, Renault remained open to other partners, for example from the alliance Nissan and Mitsubishi.
The failure of talks with VW is a setback for the hopes of Renault boss Luca de Meo (56) for closer cooperation between European car manufacturers in the face of competition China. If there had been a cooperation between VW and Renault, it could have been the foundation of an “Airbus for cars,” said one of the insiders.
A collaboration would have allowed the two companies to share the costs of building and developing the car. Just a few days ago, the Chinese electric car manufacturer BYD announced that it would bring its Seagull model onto the market in Europe for less than 20,000 euros. Stellantis wants to sell the vehicles of its partner Leapmotor in Europe, including a small car.