The Renault-Nissan-Mitsubishi Alliance is back! I’m sure someone is excited about that. I’m still wondering what’s in it for any of them.
The last chapter of the Alliance is the exciting one, following the dramatic arrest of Carlos Ghosn and his subsequent escape from Japan. All of a sudden the rather boring world of corporate executives in the automotive industry had something exciting to talk about. Yes, more exciting that selecting seat fabrics or the most efficient way to pursue alternate drivetrain strategies while achieving synergies and leveraging as much of our existing infrastructure as possible while keeping an eye out towards the achieving of net-zero goals in compliance with the existing political climate and the wishes of shareholders…
Hey, wake up, we’re not even halfway through the article yet.
It was something like that, except with 90s buzzwords, that was said back in 1999 when Renault and Nissan first partnered. Both of them in rather a sorry state compared to the heights of their 80s glory, but at least Renault was still making some money. Much to the chagrin of Nissan fans everywhere, the alliance indeed saved them from bankruptcy.
However, as soon as they once again had a leg to stand on, they realized that their lifesaving decision had come at a cost. Much like the merger of equals for DaimlerChrysler (the Chrysler is silent). This has understandably been a source of tension. Especially as Nisan became the largest member of the group but remained under the thumb of Renault And now, thanks to their bold strategy of lying to the Japanese government, also with Mitsubishi joining the unstable relationship.
The only reason this isn’t the most ragtag bunch of companies in the auto industry is because Stellantis seems to be on the fast track to becoming Pan-European Leyland.
Looking back at their vehicles from before the alliance, it kinda makes sense why Renault would want to go into business with Nissan. Renault has historically built those uniquely french vehicles that are not so unique so as to be unpalatable anywhere else (looking at you Citroen), but have never been able to make them as durable or well-regarded as they should for mass stateside appeal. On the other hand Nissan did do that and left their bread-and-butter offerings to stagnate right around the time the Japanese economy collapsed like a poorly-made *Unagi Maki*. Ideally they could compliment one another. Somewhere in the middle of this that got lost and we ended up with things like the Nissan Platina.
But now everything seems like it could go well, with Renault’s stake in Nissan lowered to 15%, the same as Nissan has in Renault, voting rights for Nissan, and Ghosn no longer there to desperately try to make Nissan just Renault wearing a Japanese outfit. Not that it’s all peachy keen, Renault’s stock is divested into a french trust which should nullify most discrepancies for voting rights. “Should”. And there’s the uncomfortable fact that the French Government is still Renault’s biggest stockholder. Still, some progress is good after all.
And besides, they can now unite and use Mitsubishi as their whipping boy.
