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Latest NewsManufacturingJob creation and losses

Renault-Geely venture will create 19,000 UK jobs

by Jo Faragher 12 Jul 2023
by Jo Faragher 12 Jul 2023 Geely is a car manufacturer based in Hangzhou, China
Geely is a car manufacturer based in Hangzhou, China

A new company launched by car giant Renault will have its headquarters in the UK, potentially employing around 19,000 workers.

Renault-Geely will invest up to €7 billion in 17 engine factories and five research and development hubs for the production of low-emission petrol, diesel and hybrid engines.

The two companies have signed a joint venture agreement with each holding a 50% stake in the new company, which will aim to have an annual production capacity of 5 million engines and powertrains – which create power from all of the engine components – per year.

Renault-Geely will supply to a range of car manufacturers including its own companies, Volvo, Nissan and Mitsubishi.

Demand for electric cars is growing in the UK, with electric vehicles accounting for almost a fifth of new car sales in 2022.

In a statement, Renault Group CEO Luca de Meo said: “Facing today’s automotive challenges, no one can claim to have all the solutions, alone. Coming up with breakthrough innovations requires combining expertise and assets.

“When it comes to the global race for decarbonising road transports, there is no time to lose, and it will not be business as usual.”

Eric Li, Geely Holding Group Chairman, added: “We are pleased to be embarking on this journey to become a global leader in hybrid technologies, providing low-emission solutions for automakers around the world.”

Electric vehicle, engine and battery manufacturing roles feature prominently in the UK government’s “green industrial revolution”, announced by the then Prime Minister Boris Johnson in 2020.

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However, the sector has not been universally successful so far. Earlier this year, battery manufacturer Britishvolt went into administration, with the loss of around 300 jobs in the north east.

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Jo Faragher

Jo Faragher has been an employment and business journalist for 20 years. She regularly contributes to Personnel Today and writes features for a number of national business and membership magazines. Jo is also the author of 'Good Work, Great Technology', published in 2022 by Clink Street Publishing, charting the relationship between effective workplace technology and productive and happy employees. She won the Willis Towers Watson HR journalist of the year award in 2015 and has been highly commended twice.

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