Nissan’s EV Technology And Know-How Could Pay Off In Renault-FCA Deal

Nissan’s expertise in electric vehicles and platforms might give it a leverage in the FCA-Renault merger, mostly thanks to a royalty system the Japanese car maker has established with Renault.

Reuters cites two people with knowledge of the matter in its report, saying that if Renault and FCA do eventually merge, they could be faced with extra costs every times they use technology developed from either Nissan or Mitsubishi.

Electrification and emissions reduction technologies are considered to be one of Nissan’s most valuable assets in the potential tie-up between Renault and FCA.

Also Read: Nissan Says It Is Not Opposed To Potential Renault-FCA Merger

Thanks to the existing royalty system, Renault pays less for technology developed by Nissan than the Japanese company pays for its French partner’s tech. This has long been a sticking point for Nissan, and a topic where the Japanese automaker could press for more favorable terms.

“Whenever Nissan transfers platform, powertrain or other technology to Renault, there is a margin or royalty which Renault has to pay for use of that tech,” one of the people said. “In that sense, FCA, if everything went well, would become another ‘client’ of ours and that’s good. More business for us.”

Renault currently owns a 43.4 percent stake in Nissan and is its top shareholder, while the Japanese company holds a 15 percent non-voting stake in Renault. If the tie-up with FCA goes through, Nissan’s stake in the new entity will fall to 7.5 percent, although that will come with voting rights.

  • Lacomete

    And Renault doesn’t have expertise in EV 🙂
    Poor article.

    • Matteo Tommasi

      AND a new Fiat 500 (full electric) is coming next year

Porsche Taycan Demonstrates Its Speed At NYC Formula E Course

The Taycan made its third and final stop in the company’s Triple Demo Run at the Big Apple.

Mario Andretti’s Lamborghini Countach Is A $500k Piece Of Automotive Royalty

Lamborghini only ever built 321 examples of the Countach 5000 S, and this one had a very special owner.

Toyota Kicks Off New Ad Campaign As 2020 GR Supra Arrives At Dealers Later This Month

After a 21 year absence, the Toyota Supra will return to dealerships soon.

Ranger Danger: Ford Reportedly Working On A Bronco Pickup To Battle Jeep Gladiator

The hardcore pickup is expected to be based on the next-generation Ranger and could go into production in 2024.

HSV SportsCat Series 2 Sequel Brings Enhanced Styling, Equipment

The Holden Colorado-based off-road truck receives cosmetic changes that make it look more aggressive.

VW Plans To Launch Autonomous Vehicles In The Middle Of The Next Decade

VW believes fully autonomous vehicles will primarily appeal to the fleet operators and the rich.

Audi Celebrates 25 Years Of RS Models, Confirms Two More For 2019

Audi will introduce two new RS models later this year and one is likely the RS Q8.

This Could Be The First Emoji For Electric Vehicles

Created by Electrify America, the emoji shows a generic sedan at a charging station.

Should Mazda’s New CX-30 Make Its Way On Your Shopping List?

Its sleek design, sporty drive without compromising comfort, and ample room for four might just to the trick.

Hennessey’s Ranger VelociRaptor Has Sports Car Performance, Better Off-Road Manners

Based on the 2.3-liter version, it gets 360 HP, a higher ground clearance and all-terrain tires
.