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Renault CEO pushes EU for China sourcing deal amid assembly concerns 

Provost made the remarks at a Brussels industry event, arguing that any EU-China automotive arrangement should prioritise greater localisation of supply chains.  

Shubhendu Vimal June 11 2026

Renault Group chief executive François Provost has urged the European Union to compel Chinese carmakers to procure components from European suppliers, not merely assemble vehicles there. 

Provost made the remarks at a Brussels industry event reported by Reuters, arguing that any EU-China automotive arrangement should prioritise greater localisation of supply chains.  

“I think the good way for Europe is really to set a deal with China based on this strategy,” he said.

His comments come as several European manufacturers have struck deals with Chinese firms to produce China-branded vehicles at idle European factories.

Last month, Stellantis announced plans to manufacture Dongfeng's Voyah-branded electric vehicles at its Rennes plant in France under a non-binding MoU to establish a Europe-based joint venture for sales and local production.

Stellantis is also engaged in a separate collaboration with Chinese EV maker Leapmotor.

Separately, Xpeng was reported to be in discussions with Volkswagen and other carmakers about acquiring a European production facility.

Provost's argument rests in part on the economic weight of the supply chain: he noted that roughly 95% of the value generated during vehicle assembly is attributable to parts suppliers, suggesting that a localisation requirement could deliver significant economic benefit to European industry.

The remarks echo a position staked out by the French government, where Finance Minister Roland Lescure last month urged both Renault and Stellantis to demonstrate "European preference" in procurement as their ties with Chinese partners deepen.

European automotive supplier trade association CLEPA has warned that the continent's EV transition ambitions face a structural investment shortfall.

Citing data covering the period from 2021 to 2026, CLEPA said EU supplier investment remained flat while Chinese counterparts increased spending in the sector by 57%, creating what the association described as an asymmetrical global playing field that poses a threat to Europe's industrial base.

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