Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Podcasts
  • Car Cutaways
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: All or nothing: Why circular business models require a holistic approach
    • Capgemini: Invent Head on automotive takeaways from CES 2023
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • Capgemini: The circular economy is spurring new thinking on EV batteries
    • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Automakers
January 30, 2023 05:09 AM

How Renault-Nissan alliance went from rescue to mistrust

Renault and Nissan are putting themselves on equal footing after mutual suspicion mounted over the years, culminating in the downfall of former leader Carlos Ghosn.

Reuters
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Ghosn Japan
    Akio Kon/Bloomberg

    Ghosn's 2018 arrest in Japan was a low point in the alliance's history.

    From our archives

    How Automotive News Europe reported on the early days of the alliance:

    • Renault and Nissan face clash of cultures
    • Renault is on target with Nissan, Schweitzer says
    • Renault's Schweitzer rules out equal alliance with Nissan

    After Renault rescued Nissan in 1999 from looming bankruptcy, their alliance suffered up and downs over the years as rivalries and mutual suspicion led to increasing resentment at Nissan.

    Renault has now agreed to lower its 43 percent holding in Nissan to 15 percent to put the partners on an equal footing.

    Here is a timeline of key events in the alliance's history:

    • 1996: Carlos Ghosn joins Renault as executive vice president after a successful career at Michelin. The next year, Ghosn unveils a cost-cutting plan. Renault's profitability jumps three-fold by the end of 1998.
    • 1999: Renault rescues of debt-laden Nissan and Renault Chairman Louis Schweitzer sends Ghosn to Japan to revive the Japanese company. After cutting 21,000 jobs, or 14 percent of the workforce, shutting some plants and overhauling Nissan's corporate structure, Nissan hits its goals a year ahead of schedule. Ghosn becomes a business celebrity in Japan.
    • 2000: Ghosn becomes Nissan CEO. By the end of 2000, Nissan is contributing roughly half of Renault's annual net profit.
    • 2002: Nissan announces its Nissan 180 three-year plan, targeting an increase of 1 million vehicles in global sales by 2005.
    • 2005: Nissan misses its sales target and announces a new three-year plan. Ghosn becomes CEO of Renault as well as Nissan.
    • 2008: Nissan again fails to meet its main financial targets. The automaker announces another five-year plan but then scraps it due to the financial crisis.
    REUTERS

    Louis Schweitzer (left) and Carlos Ghosn attend Renault's annual shareholders meeting on April 29, 2008.

    • 2013: Renault and Nissan announce a common plan for low-cost development and manufacturing of vehicles. The next year, the two companies converge more functions, targeting 10 billion euros ($11 billion) in annual savings by about 2022.
    • 2016: Nissan takes a controlling stake in Mitsubishi. Ghosn becomes chairman, making him chairman of all three partners.
    • 2017: Both Nissan and Renault post record operating profits, though Nissan still falls short on some targets. The alliance together sells more than 10 million vehicles globally, making it one of the world's biggest automakers.
    • 2018: Ghosn is arrested in Japan on charges of underreporting his salary for more than a decade. He is accused of other crimes including using Nissan funds for his own purposes. Ghosn, who has denied wrongdoing, is fired as chairman of the alliance.
    • 2019: Nissan and Renault reel from the aftermath of Ghosn's arrest. Both automakers appoint new boards as profits continue to sink. The alliance names a new chairman, Michelin veteran Jean-Dominique Senard, while Makoto Uchida becomes Nissan's new chief executive.Tensions escalate after Renault attempts to tighten capital ties with Nissan, a move rebuked by the Japanese automaker. On Dec. 29, Ghosn escapes from Japan onboard a chartered flight. He eventually arrives in Lebanon, his childhood home, where he is barred from leaving the country but remains protected from extradition.
    • 2020: With the COVID-19 crisis triggering losses at both automakers, Renault secures a state-backed loan worth 5 billion euros to shore up its liquidity. Luca De Meo becomes Renault CEO in July. Alliance Chairman Senard rules out any merger of the carmaking partners, saying they do not need to combine to be efficient.
    • 2022: De Meo announces plans to split Renault's electric vehicles business from its combustion engine operations. Media reports say Nissan wants Renault to cut its stake to 15 percent, in exchange for investing in Renault's EV unit. Technology-sharing emerges in October as a sticking point between the two companies in the talks, people familiar with the negotiations said. Renault later provides proposals to address those concerns, and a deal is announced on Jan. 30, 2023.
    Related Article
    Renault, Nissan agree on framework to rebalance alliance
    RECOMMENDED FOR YOU
    VW's potential battery IPO attracts high investor interest, top shareholder says
    Recommended for You
    VW Battery production
    VW's potential battery IPO attracts high investor interest, top shareholder says
    cupra-born_01.jpg
    VW's Cupra brand weighs entering U.S. market with larger EVs
    The Ford Mach-E
    Ford expects to lose $3B on EVs this year
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Podcasts
    • Car Cutaways
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
      • ANE Eurostars
    • More
      • Publishing Partners
        • Capgemini: All or nothing: Why circular business models require a holistic approach
        • Capgemini: Invent Head on automotive takeaways from CES 2023
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • Capgemini: The circular economy is spurring new thinking on EV batteries
        • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us