With more than 84,000 vehicles sold in the Asia-Pacific region in 2001 compared to 21,620 in 2000, the Renault group has established a lasting presence in the region, thanks to the successful launch of Renault Samsung Motors in Korea, redeployment of the Renault brand in Australia, Taiwan and Indonesia, and increased sales in Renault's existing markets. The group's investment in Asia in 2000 made an active contribution to the growth of Renault sales worldwide.

Renault increases sales worldwide and consolidates ranking as leading European brand

Renault group unit sales continued to grow worldwide in 2001. In Western Europe, Renault was the leading brand for the fourth year in a row and slightly increased market share on 2000 in the passenger car and light commercial vehicle segments combined. This was largely due to the sales success of Laguna and Clio models launched in 2001 and LCVs. Outside Western Europe, the group offset the effects of crises in Turkey and Argentina by strong sales gains in Central Europe and Brazil, as well as by contributions from new brands Dacia and Renault Samsung Motors (RSM). Renault plans to consolidate sales in 2002 through ongoing international development and faster renewal of its product lineup.

Renault group sales climbed 2.2% in 2001 to 2,408,548* passenger cars and light commercial vehicles. Sales were up 1.6% in Western Europe, but jumped by 23.8% in Central Europe, where Renault was ranked third, up from fifth place in 2000. Sales, however, were impacted by the slump in the Turkish and Argentine markets, but rose in Brazil and on many other markets, including Africa, Maghreb, Middle East and Asia-Pacific.

The combined sales figures of Renault Samsung Motors and Renault in the Asia-Pacific region – 70,000 and 14,300 vehicles respectively in 2001 – made an active contribution to the group's global presence and confirmed that the region has a major role to play in its international growth.

Since the Alliance was signed between Renault and Nissan on March 27, 1999, close cooperation has been built up between the two automakers in Asia, with a specific Cross-Company Team (CCT) tasked with looking for synergies to help the Renault brand boost sales in the Asia-Pacific region and support the industrial and commercial launch of RSM in Korea.

* Preliminary figures (estimates)

Major sales growth for the Renault brand in Asia

The redeployment strategy introduced by Renault's Asia-Pacific Division has enabled the brand to relaunch sales in Australia, Taiwan and Indonesia in less than a year while continuing to expand in China, Japan, Malaysia, New Zealand, Singapore and the French Overseas Territories of New Caledonia and Tahiti. Developments in the regional economy, due to the gradual setting up of the ASEAN Free Trade Association (AFTA) and China's membership of the WTO, has made it possible for the Renault group to envisage major opportunities for mid-term industrial and commercial growth in the Asia-Pacific region. With the help of local partners, the group now has assembly capacity in Malaysia – where Permas is assembled by Inokom on the Trafic platform – and China (where Trafic is assembled by the Sanjiang Renault Automotive Company).

Working in close liaison with Nissan, Renault's Asia-Pacific Division, which was set up in Tokyo in June 2000, is conducting a continual growth strategy, with 9,079 vehicles sold in 2000, 14,167 in 2001 and expects sales of more than 22,000 units (+56%) in 2002. Scénic was Renault's most popular vehicle in the Asia-Pacific region in 2001, with 4,514 units sold, ahead of Clio (3,808), Kangoo/Kangoo Express (1,661) and Mégane (1,314).

While Renault has so far focused mainly on those models in the region, it is now planning to move further into the top-range market with the gradual introduction of New Laguna, Avantime and Vel Satis in some countries.

With a network of 131 sales and servicing outlets in those countries by the end of 2001, compared to 69 at the end of 2000, Renault is clearly showing its determination to establish first-class service based on Renault technical experts (RTE) who have been given 480 hours of individual training. To this end, the division invested E550,000 in a new training centre in Singapore in November 2000. Covering 9,000 square metres, it has given a total of 22,500 hours of training in the past year to 51 RTEs from 12 countries, including Australia, China, Indonesia, Japan, Malaysia, New Zealand, Singapore and Taiwan.

In Australia, 2001 saw the launch of the Renault brand in May thanks to importer VDA, a subsidiary of Nissan. Along with the award-winning Clio Renault Sport 2.0-litre, the Mégane cabriolet, Scénic and Scénic RX4 were put on sale simultaneously through a network of eighteen dealers (at the end of 2001) in five states. Between May and December 2001, Renault sold 2,127 vehicles and expects to reach the 5,000 mark in 2002, especially following the launch of New Clio and the introduction of bigger cars such as Laguna.

In China, Renault now has five distributors and nine dealers covering most of the mainland, as well as Jebsen Motors in Hong Kong and a dealer in Macau. The company increased its sales by 15% compared to the previous year in a Chinese market that is still growing fast. Total sales reached 1,596 in 2001 and the target for 2002 is 2,840. Scénic was the top seller, with 866 units sold in 2001, ahead of Trafic – assembled locally in Hubei province – which sold 350 units.

In Indonesia, Renault staged its return at the July 2001 motor show with Nissan's partner, PT Auto Euro Indonesia. At the end of 2001 a network of five dealers was in place and more are in the pipeline. Deliveries of Clio, Scénic and Kangoo began at the end of November and a total of 106 vehicles had arrived by the end of 2001. The sales target for 2002 is 1,000 units.

In Japan, the rapid expansion of the network in partnership with Nissan – 67 outlets at the end of December – helped Renault sales grow by almost 31% to 2,845 registrations in 2001, despite the withdrawal of the France Motors company during the year. The overall market grew slightly by 2.9% in 2001. In 2002, reinforcement of the network by better coverage of urban areas and the introduction of more models and updated versions of existing ones (New Lutécia (Clio), Kangoo, Laguna, Avantime) will make a sales target of 3,600 units feasible, representing an increase of 30% compared to 2001.

In Malaysia, Renault revenues grew by 85% (1,152 units sold) compared to 2000 in a vehicle market that remained generally stable. Contributing factors were the successful launch of Kangoo and the assembly of Permas by Inokom on the Trafic platform. Permas sales were up by 83% and in 2002 the figure was expected to reach 600 imported units plus 800 Permas assembled locally.

In New Zealand, Renault expects to sell 500 vehicles in 2002, compared to 422 in 2001, with more outlets opening, the addition of New Laguna to the range and the introduction of New Clio.

In Singapore, 2001 saw a 7% increase in sales to 1,864 units, due especially to the popularity of Kangoo Express, which is the market leader in its segment. Renault's target for 2002 is 2,300 units following the launch of New Laguna.

In Taiwan, Renault has built up a sales network of 15 outlets since its return to the market in July 2001 with the help of Nissan's partner Yulon. The introduction of both Scénic and Scénic RX4 helped sales reach 565 units in 2001. With the arrival of other models such as New Clio and New Laguna, Renault is targeting sales of 2,400 vehicles in 2002.

In New Caledonia, Renault is the brand leader and increased its sales by 40%, reaching 2,050 units, in 2001. Clio, Mégane, Laguna and Kangoo were the best-selling vehicles in their respective segments. The goal for 2002 is to sell 2,000 vehicles and maintain the brand's exceptional penetration of 30% in a stable market.

In Tahiti, sales grew by 32% to 1,440 units in 2001. The biggest single factor was the popularity of New Clio, which boosted sales by 80%. Renault hopes to increase its share of a market that is expected to dip in 2002 and has set a target of 1,250 units.

Renault Samsung Motors: a new challenger in Asia's second-biggest car market

Having set up Renault Samsung Motors (RSM) in September 2000 by buying the assets of the former company Samsung Motors Incorporated (SMI), the Renault group now has annual production capacity of 240,000 vehicles in Busan, an R&D centre in Giehung and a modern network of some 100 sales outlets. The business plan drawn up in 2000 provides for further investment of $300 million over four years to give a new dimension to the new company. On December 18, 2001, the Korean ministry of trade, industry and transport officially awarded the Silver Tower Order of Industrial Service to RSM for its contribution to the Korean economy (the Golden Tower award was not attributed).

Within a year, the Renault group has made a significant entry into Asia's second-biggest car market, which has become its eighth largest car market in terms of volume. Due to rapid growth in sales, which went from a monthly average of 3,000 vehicles in the last quarter of 2000 to 7,000 for the same period in 2001, the SM5 achieved more than 25% penetration in its segment and has built a sound reputation as safe, reliable and enjoyable to drive. The 100,000th SM5 rolled off the assembly lines in Busan in May 2001.

Renewed confidence in the company and the redeployment of the sales network – 60 new outlets have opened since September 2000, making a total of nearly 100 at the end of 2001 – helped make the SM5 the third best-selling vehicle on the Korean passenger car market in 2001, all brands and segments combined. Commercial expansion has been backed up by advertising focused on customer service and on the excellent image of RSM and the SM5.

Thanks to the creation of several thousand direct and indirect jobs in Korea – RSM has hired 2,000 new employees and a network of Korean suppliers is gradually being rebuilt – Renault Samsung Motors now has the industrial, commercial and engineering capability to launch a second vehicle – the SM3 – before the end of 2002. The new model is being designed on an existing Nissan platform. These synergies have been made possible by the Alliance between Renault and Nissan signed in March 1999.

The SM3 will join an improved SM5 being launched on the Korean market in January 2002. Also developed by the R&D centre in Giehung, it combines slight restyling with better comfort and safety features.

The availability of both the SM5 and SM3 – due to go into production during the second half of 2002 – will enable RSM to potentially cover about 50% of the Korean car market. The sales target for this year is about 90,000 vehicles, compared to 70,000 in 2001.