Renault wants to produce in Palencia plant 50% of Kadjar and 50% of Mégane models
- The Renault plant in Palencia (Spain), which has a production capacity of 300,000 cars a year, has become the site dedicated to the production of sedans, station wagons and coupes bodies of the Mégane since the mid-90s, to support the overloaded plant of Douai (dedicated to the production of MPVs Scenic and Grand Scenic).
- 30% of the Mégane produced in Palencia (only plant for these models) are sold on the French market. However, the French market experienced a sharp decline between 2011 and 2013 (-18%), as well as the European market (-9%). In addition, conventional sedans and MPVs have been challenged by the growth of SUVs.
- Consequently, Palencia plant experienced a trouble period. Thus, from 95% in 2005, the utilisation rate of the plant gradually fell to 71% in 2012, 57% in 2013 and 44% in 2014. The arrival of Kadjar in 2015 (C segment SUV designed on a platform shared with the 2016 Mégane) turn round the trend: the utilisation rate is slightly higher than 70%.
- In 2016, the start of the new Mégane and the increase of Kadjar sales should allow Palencia plant to regain its higher level. Renault announced that it wanted a production share of 50% of Megane and 50% of Kadjar on this plant, which is equivalent to 150 000 units of Kadjar and 150 000 units of Mégane in 2016. The production of the future Scenic (based on the same platform as Mégane and Kadjar) in Douai (France), is also estimated to 150,000 units in 2016. Thus, for Renault, its C segment products range should now be well distributed in 2016: 33% of sedans and station wagons, 33% of SUVs and 33% of MPVs.
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