The riots caused by Donald Trump’s trade policies have stuck the entire automotive industry, except for a smaller player: Renault, France.
After appearing from a five-year turn under Chief Luca De Meo and with almost some US sales, Renault is isolated-at least now for now-from the 25 percent fee that Trump has imposed all imported vehicles in the US.
“I had so many misery as a Renault CEO in the last four years, but at least, in this case, I don’t have to be the first to worry,” De Meo said in an interview held before the US president’s fees were announced.
However, analysts and company interior say a wider market slowdown caused by tariff chaos can damage De Meo’s plans to further expand the Renault part in electric vehicles as well as hybrids.
“In the storm, we’re doing very well, but we’ll see what the boat looks like. The storm is difficult,” said one company interior.
Trump’s comprehensive fees in vehicles and car components have spoiled supply chains, damaging many major players including Toyota, Volkswagen, General Motors and Hyundai.
Stephen Reitman, an analyst in Bernstein, said Renault was among the best isolated from the uncertainty of the tariffs, though it would not happen in “generalized market melting”.
Under De Meo’s leadership, Renault has strengthened its cost structure and rebuilt models, with the help of former PSA Gilles Le Borgne engineering director.
It has maintained its overall manufacturing capacity and geographical trail to a smaller scale compared to some other automobiles, producing fewer cars at higher borders. This is confirmed at a time when its biggest European rivals Stellantis and Volkswagen have been hit by pressures in China and Sh.BA
However, despite being close to the sale of Zero in the JB, Renault has not been immune to concerns about a global slowdown and the impact of car demand tariffs, at the price of its 9 percent share over the past five days.
After completing its restructuring, De Meo wants to strengthen the Renault sales from about 12 to 20 percent, while also closing the toyota gap in the European hybrid market. The Japanese manufacturer has a market share of 48 percent in the region, compared to 20 percent of Renault.
“My ambition is to make sure Renault can play in the Champions League final, because I think we have the capacity and we have the resources,” De Meo said, referring to the European Club Football competition.
He also re-recaved her 25-year-old alliance with Nissan in 2023 and is on the way to reduce her shares in his troubled Japanese partner, once to 43 percent, to 10 percent. Currently holds 36 percent, including an share now 18.7 percent held in a French faith he wants to charge.
A sector banker said he did not expect Renault to rush to sell the shares, especially after the union talks between Nissan and Honda collapsed. Nissan’s action has also fallen 35 percent this year under the threat of tariffs, making the sale unattractive.
But despite its isolation from the US, industry observers ask how long it can oppose a decline in demand for new vehicles in Europe, a region that makes up two -thirds of sales.
While “has been a great, perennial turn … going from a loss to a difference of 7.5 percent, that part of the story has run her course,” said Jefferies Analyst Philippe Houchois in a video for customers while brokerage reduced her rating in Renault from buying.
De Meo will describe a new growth strategy this year which is likely to focus on investing in technology and innovation, and enlargement of renault business in “adjacent” areas with cars, such as software and finances.
He is also relying on partnerships to compensate for the lack of its degree. To address the growing competition in China, Renault has partned with Geely in a combustion engine business and also has collaborations in South Korea and Brazil.
But the key to the next growth will be to improve the sales of her range EV. Renault’s strong results have been driven by strong sales and margins from its low -cost brand, mainly with Dacia burns; Hybrid sales also increased 45 percent last year to make a quarter of sales – however, its fully poorly sold electric vehicles last year.
Sales rang about 20 percent to make up only 9 percent of the total group as the older models were withdrawn before starting new models such as R5.
This came as part of a wider slowdown in the European market, which is now showing signs of a recovery. In the first two months of the year, battery vehicle sales increased 28 percent a year ago, capturing 15 percent of new cars sales, according to ACEA.
On a recent visit to the company’s factory in Douai, North France, now focused only on electric models, De Meo said it was the “Battle Heart” for the future of the machine.
The factory will pump models of new R5 Te-Tech while starting throughout Europe in the coming months. Renault is also planning a new EV from Dacia and a more affordable version of R5.
R5 is the tenth French car best selling in the first three months of the year, and analysts at HSBC noted that the company had strong orders from omissions in late 2024.
But with a portfolio of fresh products, the car manufacturer should continue to persuade clients to buy its new electric strings, a task more difficult with tariffs that are expected to slow the global economy and raise prices of vehicles.
“We have to see Europeans being a little more convinced of the idea of buying more electric cars,” he said in Duuai. “But we’re playing to win, not to lose.”
