Renault Group agrees sale of 26.4% stake in Brazil business to Geely

Core Insights - Renault Group has finalized an agreement for Geely to acquire a 26.4% stake in Renault do Brasil, enhancing cooperation in the production and sale of zero- and low-emission vehicles in Brazil [1][2] - Renault will retain control of the Brazilian subsidiary and continue to consolidate it in its financial statements, while Geely will gain access to manufacturing and commercial infrastructure [2][3] - The partnership is seen as a strategic move to enhance competitiveness and innovation in a rapidly evolving automotive market [3] Group 1 - The financial terms of the transaction were not disclosed [1] - Geely Auto-branded models will be produced alongside Renault vehicles at the Ayrton Senna facility in São José dos Pinhais, Paraná, which is expected to increase overall output [2] - Renault do Brasil will manage sales and distribution of Geely Auto's electrified range, including financing and aftersales operations [4] Group 2 - The collaboration aims to strengthen both companies' positions in Brazil, a market that accounted for over 40% of Latin American vehicle registrations in the first half of 2025 [4] - Geely's chairman emphasized that the partnership will leverage technology scales globally to deliver superior products [5] - Renault is also exploring potential collaborations with Chinese automaker Chery for co-producing and selling cars [5]