(Reuters) -Renault Group will produce two new cars in Brazil in the second half of 2026, using the base of its Chinese partner Geely's vehicles, as it further expands in a high growth market, it said on Tuesday.
The two groups also said that they will invest 3.8 billion reais ($713.9 million) in an industrial complex in the country.
Renault did not say whether the investment was part of or in addition to the 3 billion euros international development plan over four years which it announced at the end
of 2023.
The company said that the two manufacturers will create a new zero emission technology platform that will be the basis for another new Renault model to be launched in 2027.
Renault announced the completion of a deal in Brazil with Geely a fortnight ago, linking up in the largest Latin American market, where rival BYD has been building a factory and gaining ground with its affordable pure electric and plug-in hybrid models.
The agreement allows Geely access to an existing plant and dealership network and will help the French carmaker to use more of the available capacity at its assembly plant and add larger models to its portfolio, Renault has said.
While Renault's reliance on Europe has largely insulated it from U.S. President Donald Trump's tariffs, it also makes it vulnerable to the region's weak economic growth. Facing rising competition from Chinese automakers at home, it wants to expand outside Europe, in Latin America, but also in Korea, Turkey and India.
($1 = 5.3230 reais)
(Reporting by Mathias de Rozario in Gdansk and Gilles Guillaume in Paris; Editing by Matt Scuffham)
