Volvo and Renault develop modular E-van with 800-volt foundation
The Renault Group (passenger cars) and the Volvo Group (trucks) have announced a joint venture aimed at developing a new generation of electrified transporters. It is expected that the market for light electric commercial vehicles will triple by 2030, and there are significant potentials in the areas of e-commerce and rental services, according to the providers.
"Climate change accelerates the need for the transition to electrification, future CO2 regulations for freight transport and access to cities drastically change the logistical ecosystem. Professional customers are already facing increasing pressure on usage costs and the need for safer and fully connected vehicles," the partners argue the step.
Additionally, they are looking forward to the entry of CMA CGM into the new company. Renault and Volvo aim to seek additional investments and business partners. As a global player in all segments of the supply chain, CMA CGM is expected to support the new company in developing suitable solutions and bring in the expertise of a global logistics provider.
The new company plans to launch a completely new family of "fully electric and software-defined vehicles," as stated. Production is scheduled to start in 2026. The vehicles will be built on a new fully electric LCV skateboard platform, promising high modularity for various body types at low costs and a breakthrough in safety requirements.
"The Volvo Group is committed to offering its customers complete transport solutions that help them decarbonize their value chains. We see a growing demand for clean, efficient, and safe urban transport. Partnership and collaboration are key to achieving this," explains Martin Lundstedt, President and CEO of the Volvo Group.
With the new "Software Defined Vehicle-Architecture," the vehicle will have "unprecedented features for monitoring delivery activity and user business performance," further promoting the new venture. This is expected to reduce logistics costs by 30 percent. The connected services enabled by the Software Defined Vehicle technology will be included throughout the vehicle's entire lifecycle. The transporter itself will offer high capacity for urban mobility, high flexibility for customized solutions, various battery capacities with an unprecedented 800-volt fast-charging technology for transporters.
"Electrification and digitization are paving the way for a revolution in the light commercial vehicle market. The Renault Group aims to take a leading role in this transformation while ensuring solid value creation. The new company is a start-up that unites the complementary strengths of three champions: a leading truck manufacturer, an expert in customized services and global supply chain advocacy, and a European EV pioneer and market leader in light commercial vehicles," enthuses Luca de Meo, CEO of the Renault Group.
Company to Start in 2024
The joint venture is set to commence operations in early 2024, provided all regulatory approval processes are completed. The subsequent entry of CMA CGM into the company is also subject to regulatory approval. The project was submitted as part of a call for projects under France 2030. The future company is also expected to operate under its own corporate identity and be based in France.
The two groups are specifically signing binding agreements for the establishment of the new company, in which they will initially each hold a 50:50 stake. They plan to invest €300 million each over the next three years. The CMA CGM group is signing a non-binding letter of intent with the groups to participate in the new company and invest €120 million through its PULSE energy fund, which aims to accelerate the decarbonization of the transport and logistics sector.
The Volvo Group has been collaborating with the Renault Group in the field of light commercial vehicles through its Renault Trucks business unit for more than 35 years. This includes selling the Renault Master and Trafic vans in both networks. The Volvo Group and the Renault Group remain competitors in all other areas, it is emphasized.
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