According to media reports, Franck Naro, Renault's Head of Industrial Strategy, announced at the Automotive News Europe Congress in Frankfurt that the Renault 5 small electric vehicle will begin production later this summer at the company's Douai plant in France. Each vehicle will take only nine hours to produce, a speed that rivals the most competitive Chinese electric vehicle manufacturers. This achievement is partly due to the use of digital manufacturing technologies.
Franck Naro, Renault Group's Vice President in charge of Industrial Strategy and Corporate Operations, stated at the June 12 event, "From what we can see, our production speed is comparable to that of Chinese electric vehicle manufacturers. We know exactly where we stand and we know exactly where the best competitors are."
Renault announced last December that its goal is to reduce electric vehicle production costs by 50% by 2027 and to shorten car development time from three years to two years.
In recent months, automakers have been focusing on reducing production time as a key strategy to cut costs and increase competitiveness, particularly in the electric vehicle sector, aiming to bring electric vehicle costs down to the same level as internal combustion engine vehicles.
Naro said, "HPU (hours per unit) is now a very famous topic, and everyone in the industry is talking about it. We were very surprised because before that, only pure manufacturing experts discussed HPU."
Naro mentioned that Renault disassembled cars from Chinese electric vehicle manufacturers and Tesla to see where they could reduce the complexity of car production. The company has started identifying parts that are less relevant to certain areas of the car and is seeking to reduce their usage.
Renault's "digital twin" technology is an effective tool that helps the company identify potential production bottlenecks during the car development process and optimize the production process by replacing parts. This technology not only improves production efficiency but also allows Renault to respond more quickly to market changes and launch more competitive products.
Another effective tool is Renault's "industrial metaverse" production system, which digitally connects production processes, creating a comprehensive overview of manufacturing and the supply chain. This system allows the company to manage its production processes more precisely, predict and avoid potential problems, thereby further increasing efficiency. Last year, Renault revealed that this production system saved the company 270 million euros (a total of 290 million dollars).
Naro cited an example where if a stamping machine breaks down, the factory would have to adopt a backup solution, which could cost more than 1 million euros. He further emphasized that preventing 11 or 12 such major breakdowns annually would result in significant cost savings. Renault now has 14,000 pieces of equipment connected to its "industrial metaverse" production system.
Renault Group plans to reduce the energy consumption of its factories by 40% by 2025 compared to 2019 levels, and announced last year that it had nearly reached half of its target. By simulating and optimizing production processes, the metaverse can help Renault identify areas of energy waste and take measures to improve them.
Renault Group also pointed out that it is actively seeking talent with digital knowledge and skills, attracting and training more people to understand and maintain digital technology. Naro admitted, "Right now, our factories do not have enough personnel to fully utilize this technology."
