Renault bets big on electrified cars, aims 40% sales contribution. Details here

Renault aims for a significant surge in its electrified vehicle sales in the European market in 2022. The French auto giant expects fully electric and hybrid vehicles to contribute around 40 per cent of the brand's total sales in the European market this year. This is part of the brand's transition strategy from internal combustion engine-powered vehicles to electric vehicles.

(In pics: Renault R5 TURBO 3E Concept is an all-electric hot hatchback)

Fabrice Cambolive, the Chief Executive Officer of Renault, has said ahead of the upcoming Paris Moto Show that in Europe, the automaker is well positioned to manage its planned shift to electric vehicles by 2030. He also said that fully electric and hybrid vehicles in 2022 have almost doubled as a percentage of Renault's European sales over the last two years. He further added that orders for new vehicles have declined across Europe, and almost all the carmakers are facing this crisis. The reason behind this is rising inflation. "For several months, we have observed a drop in orders on a European scale of around 20%", said Renault's CEO.

Reuters reports that in 2021, electrified vehicles, including both fully electric and hybrid models, accounted for around a quarter of Renault's European sales and around a third in the first half of 2022. The automaker is now facing massive pressure for electrification as Tesla and several Chinese automakers, alongside the legacy heavyweights like Volkswagen and Stellantis, are increasingly focusing on electric vehicles and bringing new products to the market. The French automaker is now betting big on its electric Megane and two other small models - the new Renault 5 and Renault 4.

The report claims that Renault is due to outline its strategy to create a new wing that will be focused on electrification and software. Also, there will be a separate unit that will specialise in the legacy business of making internal combustion engine-powered cars.

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