Groupe Renault - 2020 Universal Registration Document

Strategic plan PROFIL RENAULT The Renaulution plan will ensure the Group’s sustainable profitability while keeping on track with its Zero CO 2 footprint commitment in Europe by 2050. RENAU T PROFI E A new range that is more competitive, profitable, and balanced Our product-driven offensive will be as follows: P we are going to win back lost ground in the C and D segments with a total of 11 new electric/hybridmodels, bringing the contributionmargin* on variable costs of mid-size cars to Group revenue fromonly 15% in 2019 to 40% in 2025; P the offensive will be led at the same time as work to maintain our position as leader in segments A and B with the release of five new electric/hybrid models; P we will consolidate our position in the LCV segment, with six models, three of which are all-electric; A new way of working to better serve competitiveness P We have rethought the way we work to make it simpler, clearer, more fluid. P In this new organization, the brands are in the driver’s seat. Each brand is clearly distinguishable, they are all focused on clients and markets, and are masters of their own profitability. P Cross-cutting functional divisions, with Engineering leading the charge, work closely with the brands and are responsible for the time-to-market calendar, competitiveness, costs, and development timeline. P The Alliance plays a pivotal role in focusing efforts on high-impact projects. A key driver behind the Renaulution plan is the boost in efficiency for functional divisions – responsible for cost and performance. More efficient functional divisions ENGINEERING P Rationalization of platforms from six to three (with 80% of Group volumes (1) based on three Alliance platforms) and powertrains (2) (from eight to four families). P Time taken to develop a car reduced by a full year. P Industry leader for electric vehicles and connected services. MANUFACTURING (3) P Cost competitiveness (4) increased by +20 points by 2023, 2024, 2025. P Capacity reduced to 3.1 million units by 2025. P Plant utilization rate increased to 120% in 2025. QUALITY P Totally rethought business model and production approach. P More sustainable vehicles, illustrated by the “one million kilometers” project. P Increased residual value for vehicles through constant life-cycle developments. PROCUREMENT P Exceptional efforts made to control variable costs. P Renewed supplier-side efficiency with new agreements. Take advantage of the Group and Alliance technological expertise (1) Perimeter: passenger cars. (2) Perimeter: Europe. (3) Harbour standards. (4) Cars sold in Europe. *In €, Group excluding AVTOVAZ. 11 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020