Renault invests 600 million euros in Spanish factories
The French automaker Renault has announced that it will invest a total of 600 million euros by 2030 to upgrade its factories in Valladolid and Palencia, Spain. Five new models are planned to be produced there, including two electric vehicles. Additionally, a battery assembly line will be built in Valladolid.
Christian Stein, Renault’s Spain Head
Image: Renault
It is clear that the investment announced now in Renault’s Spanish facilities represents a concrete development of the plans for future plant utilization that leaked out in March. At that time, a senior Renault executive confirmed that three new models were planned for the plant in Palencia, including two fully electric models and a range-extender version. According to a media report from then, these were supposed to be the second generation of the Scenic E-Tech Electric, a fully electric successor to the Rafale, and a range-extender version of the Scénic.
Although Renault does not mention the specific models in Spain by name in its current press release, the details align: it states that the factories in Valladolid and Palencia will be assigned five new models as part of the futuREadyfünf strategy plan, including two electric vehicles in the C-segment. Additionally, the body shop in Valladolid will also receive a new battery assembly line.
Renault plans to manufacture electric cars in Spain based on the new RGEV Medium 2.0 platform.
The company also confirms that the new electric models will be built on the new RGEV Medium 2.0 platform. Unlike Renault’s current electric platforms, the RGEV Medium 2.0 features an 800-volt architecture on which vehicles in the B+- to D-segment range are intended to be developed. According to the French manufacturer, this platform will be flexible enough to support all body styles—from sedans and SUVs to vans/MPVs.
The manufacturer highlights that the RGEV Medium 2.0 offers a WLTP range of up to 750 kilometers, with up to 1400 kilometers possible in vehicles equipped with a range extender. Additionally, fast charging times of just 10 minutes are expected.
But back to the investment amount of 600 million euros: This is made up of funds from the Renault Group itself, as well as national and regional grants for industrial transformation and sustainable mobility, and it is supported by the Spanish government and the Regional Government of Castile and León. The funds are intended to improve the competitiveness of the plants in Valladolid and Palencia, accelerate the development of cutting-edge technologies, and support the transformation of business operations across the country. This announcement follows the signing of a collective bargaining agreement until 2028, which secures 6,000 jobs at Renault’s Spanish sites.
"Spain is a strategically important location for the group, not only in terms of production and distribution but also due to the ecosystem surrounding our core business, which includes suppliers of components, energy, and mobility. In these turbulent times for the industry, the Renault Group demonstrates its commitment to the Spanish plants and the continuity of our operations — thanks to the expertise of our teams, social agreements, and support from institutions. Our goal is to remain a leading manufacturer in Spain and across Europe," said Christian Stein, CEO of Renault Group Spain.
BEV production currently focused on France
In producing electric vehicles, Renault initially focused on France, starting with the mass production of the Zoe in 2012 at Flins. Later, emphasis shifted to the ElectriCity center in the north of the country. In Douai, the Mégane E-Tech has been produced since 2021, followed by the Scénic E-Tech, Renault 5 E-Tech, and Alpine A290. In the neighboring town of Maubeuge, the electric Kangoo has been manufactured since 2011, with the Renault 4 E-Tech joining production there starting in 2025.
Renault is now expanding electric vehicle production beyond France: The first Twingo Electric began production in Novo Mesto, Slovenia, in 2020, with the new Twingo E-Tech Electric following in 2026. With the recently announced 600-million-euro investment in Spain, another country will join electric vehicle production.