Renault, Oyak to invest 400 mln euros in Bursa plant

ISTANBUL

Carmaker Renault plans to produce new model cars at the Bursa plant with up to 400 million euros of investment together with its local partner Oyak.

The plan foresees the manufacturing of four new models by 2027, including three SUVs.

The new investment aims to make Renault the leader in the Turkish car market and turn the plant in Türkiye into a production hub, which exports cars to 50 countries outside Europe.

Renault sold 12,790 passenger cars and light commercial vehicles in Türkiye in November. The company’s total sales amounted to 115,358 units in the January-November period, including 99,284 passenger cars.

In November, Renault was the second-best-selling brand in the Turkish market after Fiat.

The three SUV models to be manufactured at the Bursa plant will be in the B and C segments. The Duster model car, which will be offered with a hybrid engine, will be introduced to the Turkish market in the second half of 2024.

The investment plans were unveiled at a press meeting in Istanbul by Fabrice Cambovile.

“There is a huge growth potential in the hybrid car market in Europe, which means Türkiye will have a great advantage in hybrid car production in the coming years," Cambovile said.

“We will send every model we produce in Türkiye not only to Europe but also to different markets,” he added.

They are aware that in order to become a market leader in Türkiye, they need to produce cars locally, the company executive said.

“That’s why we have chosen Bursa. We will make it an export hub.”

They can export cars to 50 countries in the Middle East, Africa, and CIS (Commonwealth of Independent States), he said, adding that Türkiye will play a crucial role in Renault’s 2027 International Game Plan.

Camboville recalled that Renault and Oyak have been partners for 54 years and that Renault together with Oyak has produced more than 7.5 million vehicles.

Renault Group also plans to set up a new modular platform at the Bursa plant by 2026 and accelerate its R&D activities at the facility.

The number of staff working at the Bursa plant’s R&D center will double compared to 2022, with the number of engineers reaching 500 by 2025.

More than 1 million vehicles, including around 780,000 passenger cars, were produced in Türkiye in the first 10 months of 2023, according to the latest data from the Automotive Manufacturers’ Association (OSD). Local carmakers’ total output increased by 12.4 percent from a year ago.

The combined sales of passenger cars and light commercial vehicles leaped nearly 61 percent year-on-year in the January-November period to exceed 1 million.