Renault's Q2 website sales remain stable despite a decline in demand for vans
In the bustling world of automotive manufacturing, Renault, the French automaker, has experienced a unique blend of success and challenge in the first half of 2025. While the company saw an impressive 85% surge in registrations for its new electric model, the A290 under the Alpine premium sports brand, its overall sales growth remained stagnant in the second quarter.
Despite the launch of several new vehicles, including the popular Clio, Renault reported zero growth in second-quarter sales volume. This stagnation was primarily due to a significant drop in demand for vans and light commercial vehicles, which offset the growth in passenger car sales. Sales of these commercial vehicles fell sharply by 29%, accounting for about 20% of Renault’s total volume.
According to Ivan Segal, the global sales and operations director for the Renault brand, competition in the European commercial vehicle market is fierce, with rising competition from new Chinese entrants further complicating matters. Additionally, economic uncertainty has caused companies to delay large purchases, worsening the situation.
However, there is a silver lining. Renault's passenger car sales, including the Clio and electric vehicles like the Renault 5, grew by 8.4% in the first half of the year. The success of the R5 also contributed to the growth in electric vehicle sales in France, Germany, and Spain.
In a positive development, sales of Renault brand electric vehicles increased by 57%, outperforming a market that grew by 25%. This strong performance in the electric vehicle sector is a promising sign for Renault's future.
Looking ahead, Renault anticipates double-digit growth outside Europe and expects to regain market share in commercial vehicles in the second half of 2025 with the launch of new models like the Master range. The company is currently being run by its finance chief, Duncan Minto, while searching for a new chief executive.
Despite the challenges faced in the European market, Renault remains optimistic about its overall growth. The company revised down its full-year operating margin and free cash flow forecasts last week, but expects growth to be "in line" with the first half.
In conclusion, Renault's stagnant sales in Q2 2025 reflect a mixed market dynamic rather than a failure of new vehicle launches. The company's success in the electric vehicle sector and anticipated growth outside Europe provide a strong foundation for renewed growth in the second half of the year.
In the face of intense competition from new Chinese entrants and economic uncertainty, the European commercial vehicle market poses a challenge for Renault. However, the finance sector, specifically Renault's electric vehicle sector, outperformed the market with a 57% increase in sales.
