Renault Group Chairman and Chief Executive Carlos Ghosn today announced a new investment cycle in Brazil in the amount of R$ 500 million over the 2014-2019 period. This investment will be channeled into the development of two new cars at Renault’s plant in Curitiba.

Nissan has officially opened its R $2.6 billion (USD $1.5 billion) industrial complex in Resende, Rio de Janeiro, Brazil, marking one of the largest automotive investments by any manufacturer in the country. This investment is part of an effort to achieve 5 percent market share and to become the number one Japanese automotive brand in Brazil.

If Brazil, Russia, China and India represent already 30 % of Alliance sales, it is critical to identify early and invest in the "BRICs of tomorrow". These new high growth countries will soon be giant markets for the car industry. Among them, two countries have been the focus of Renault and Nissan's recent announcements: Indonesia, at the epicenter of "Emerging Asia", and Myanmar.

- Jointly-owned organization to oversee a defined scope of purchasing activities for Renault, Nissan and AVTOVAZ in Russia 

- Will allow partners to generate significant savings thanks to increased volumes and better pricing with suppliers

- Will strengthen global quality and competitiveness of LADA, AVTOVAZ’s iconic brand

The Renault-Nissan Alliance and AVTOVAZ today announced the establishment of a common purchasing organization in Russia. This structure will manage a defined scope of purchasing for Renault, Nissan and AVTOVAZ joint activities related to industrial equipment, powertrains and vehicles based on common platforms.

"Common Purchasing Organization” LLC (CPO) is equally owned by AVTOVAZ and Renault-Nissan Purchasing Organization (RNPO) on which it will be modeled. Established in 2001, RNPO is Renault-Nissan’s largest common organization and biggest contributor to new synergies derived from cost reductions and cost avoidance. RNPO covers all purchasing activities of both Renault and Nissan worldwide.

Like RNPO, CPO is expected to generate significant savings for the three partners in Russia thanks to increased volumes and better pricing with suppliers. CPO will use the RNPO methods and standards that have contributed to its success. RNPO generated 851 million euros in new synergies for Renault-Nissan in 2012, or about a third of total synergies.

High-growth countries of Brazil, Russia, China and India represent more than 30% of the combined sales of the Renault-Nissan Alliance – up from 1% when Renault and Nissan partnered in 1999.

The key to success in these challenging markets? Modern, robust cars that are truly affordable to first-time buyers – manufactured in clever, “cost-breakthrough” ways that significantly reduce the use of scarce natural resources.

Since the Renault-Nissan Alliance began in 1999, emerging markets have become a pillar of growth for the auto industry. In 1999, Brazil, Russia, India and China(the “BRICs”) represented only 8% of the total industry volume. In 2012, these four countries represented 36% of global vehicles sales. China, which registered 600,000 car sales in 1999, became the world’s biggest car market last year with about 18 million units. Renault-Nissan sold 8.1 million vehicles in 2012, with about 30% generated from the four BRICs. The Alliance accelerates this emerging market expansion enabling each partner to gain brand awareness with millions of customers aspiring to own their first car. But each market presents unique challenges and for the Alliance, the approach differs from country to country.