Renault is preparing to reduce up to 20% of its global engineering workforce over the next two years, as part of a broader effort to streamline operations and lower costs.
The French car maker employs more than 11,000 engineers worldwide, according to a company spokesperson, who confirmed the planned reductions to Bloomberg.
Decisions on workforce reductions will be taken by local management teams across different countries.
Chief executive officer François Provost, who assumed the role in July 2025, has been advancing cost-control measures aimed at improving operational agility as competition intensifies.
European manufacturers, including Renault, are facing increasing pressure from Chinese rivals such as BYD, the report added.
Renault has been leveraging Chinese components and research and development (R&D) capabilities in Shanghai to support the development of its sub-€20,000 ($23,575) electric Twingo, which is expected to launch this year.
Provost has indicated that insights gained from operations in China will be applied to the company’s R&D centres in France, including the Technocentre near Paris.
Laurent Giblot, a representative of the CGT labour union, told Bloomberg that the plan could lead to hundreds of engineering and support roles being cut in France.
The proposed workforce reduction sits within a wider effort by Renault to lower costs and reshape operations amid heightened competition.
Separately, the group recently announced a new strategic plan, “futuREady”, which it described as a response to significant shifts in the automotive industry and a “context that is more uncertain than ever”.
Renault stated it will continue to focus on “winning” products across its three brands, aiming to strengthen its position in Europe while expanding in higher-growth markets outside the region.
The company also outlined that its primary strategic focus will be the next generation of C-segment electric vehicles, supported by its RGEV medium 2.0 electric platform.
Just Auto has contacted Renault for a comment.
