On May 18, the first joint product of Dongfeng Group and Renault Trucks, the Dongfeng Tianlong heavy truck equipped with a Renault engine, will be launched in Shiyan, Hubei. Before its official debut, Levy Chi, Vice Minister of International Cooperation at Renault Trucks, spoke with this reporter from France, sharing insights into the collaboration and its significance.
Levy Chi explained that negotiations between Renault Trucks and Dongfeng have been ongoing for nearly five to six years. The Dongfeng Tianlong, which features Renault’s advanced engine technology, is one of several collaborative projects. This marks the first and most critical step in their partnership.
The Tianlong model is powered by the DXi 11, an 11-liter high-performance Euro III diesel engine. Renault has used this engine extensively in its Kerax engineering trucks and long-haul transport models, offering power outputs of 330, 380, and 440 horsepower. It's expected that this same engine will also be used in the Kerax trucks produced through a joint venture between Renault and Dongfeng Liuzhou Automobile.
Levy Chi added that after the successful DXi 11 engine project, the final agreement on setting up a joint venture plant between Renault Trucks and Dongfeng is expected to be signed soon. The equity structure of the joint venture will see Dongfeng Liuzhou Automobile holding 32%, Dongfeng Group 18%, and Renault Trucks 50%. Renault will contribute some of its shares in the form of technology.
The joint venture will feature both the Dongfeng and Renault brands, maintaining two distinct identities. Levy Chi believes this dual-brand strategy will offer more room for growth and development for both companies. Each brand will maintain its unique identity while complementing each other in the market.
Although the final agreement hasn't been signed yet, the sales network is still under discussion. Levy Chi noted that since Renault Trucks entered the Chinese market later, it lacks a comprehensive service network. Therefore, they hope to leverage Dongfeng’s strong domestic presence and distribution system to enhance their sales and after-sales services.
In 2006, Renault Trucks aimed to sell 500 units in China through 13 distributors. By 2007, the company planned to expand to 30 dealers. By 2010, it expected total sales—both local and imported—to reach 50,000 units, capturing 10% of the heavy truck market.
Whether it's engine technology transfer, vehicle exports, or local production, Levy Chi emphasized that Renault Trucks is committed to long-term growth in China. While Renault’s technology may currently seem advanced, the company believes that as the Chinese market continues to develop, Renault Trucks will become one of the most suitable options for local customers.
Reporter: Guan Hongye
Related topics: Dongfeng Renault Project Tracking Report
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