Renault is looking for a Chinese supplier for a rare-earth-free electric vehicle (EV) motor, reported Reuters, citing sources.
The news comes after the French automaker terminated its project with technology firm Valeo focused on rare-earth-free EV motor and is part of efforts to reduce cost.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
China accounts for about 70% of global rare earths mining and 85% of refining.
Beijing’s tightening export curbs have forced the industry to race for alternative supply.
Renault has deployed rare-earth-free motors since 2012 and said in late 2023 it was collaborating with Valeo on a higher-power, more compact unit.
One of the sources said: “The E7A engine project is no longer being done with Valeo. It will be done entirely in-house across the entire value chain, except for the stator which could be bought from a Chinese supplier.”
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataEven if a Chinese company supplies the stator, Renault plans to manufacture the motor at its Cléon plant in France.
STMicroelectronics will provide silicon carbide modules for the inverter.
A representative for Renault’s EV subsidiary Ampere said, “A Chinese partner is a possibility” but a decision is yet to be made.
Valeo did not comment.
The new rare-earth-free motors are slated to power Renault’s next generation of compact EVs from 2028.
The E7A motor is expected to deliver 200 kW, around 25% more than current units used in models such as the Scenic.
It will incorporate an 800-volt system, double that of current Renault EVs, to shorten charging times.
The motors are part of CEO Francois Provost’s strategic plan due to be presented in March.
The company has increasingly turned to partners in recent years to speed up and reduce the cost of EV development, including Chinese suppliers.
Valeo continues to pursue its own magnet-free motor path with Mahle. Its “iBEE” motor, offering up to 350 kW, targets market launch in 2028.
