Renault and Geely to final Combustion and Hybrid Vehicle Venture this month

Automakers Renault and Geely could final their talks to create a joint venture for combustion and hybrid engine vehicles by the end of this month.

Saudi Arabian oil group Aramco is likely to invest in this venture as the largest backer and it was previously indicated by the group in March 2023.

Reuters reports that Renault’s unit Horse and Geely could grab a 40% share for each of this joint venture and the remaining 20% will go to Aramco. All parties involved in this matter are discussing Aramco’s investment.

Last year, Renault and Geely decided to split 50-50 of this venture and Geely’s stake is shared between 33% for Aurobay and 17% for GHPT.

“The projects advance as planned, we will communicate in due time,” said a Renault spokesperson.

The venture will aim for 15 billion euros ($16 billion) in annual turnover. It will create employment for 19,000 people on 22 sites around the globe including Spain, Romania, Turkey, South America, and China.

This venture will supply both the group’s brands and third-party companies. The venture is catching the eyes of other carmakers and big players in the industry which may also offer investment. More plans for the venture are yet to be announced officially.