Renault to Halt Formula 1 Engine Production by 2026 Amid Employee Protests and Concerns for Brand Prestige

October 1st, 2024, 3:00 PM
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Renault, the French automotive giant with a long history in the sport, announced on Monday that it will cease production of Formula 1 engines. From 2026, the company will withdraw as a supplier. Employees of the factory in Viry-Châtillon, who had previously protested against Renault’s plans, released a statement on Tuesday expressing their regret over the decision.

Prior to the Italian Grand Prix, the staff of Renault’s engine factory traveled to Monza to protest against the plans. They were particularly keen to engage in a dialogue with Luca De Meo, CEO of the Renault Group, who had until then refused to approach the employees directly. Alpine, on behalf of the affected employees, has since released a statement.

Regret and Condemnation Over Decision to Cease Formula 1 Engine Production

“We regret and condemn the decision to cease the production of Formula 1 engines from 2026,” reads the statement. According to the staff, the decision was made to reduce the financial risks associated with the sport. However, the statement suggests that no research was conducted into the potential consequences for future sales and the prestige of the Renault brand. “Solutions for partnerships were rejected by the group, even though they could have ensured the preservation of Formula 1 activities, the reduction of development costs, and the further development of promising engines.”

Negative Advice

The staff fears that Viry-Châtillon will lose a lot of technical knowledge in the future. The status currently enjoyed by the engine factory is likely not protected by the new plans. “The content, resources, and sustainability of the new projects that management wants to bring to the factory are largely unclear,” the statement continues. “The cessation of Formula 1 activities and the lack of maturity of the proposed projects pose a significant risk to the Viry facility.”

“Despite the unrest of the past two months, the team in Viry-Châtillon has continued to develop the power source for the 2026 Formula 1 car,” the statement concludes. “Due to the decision of Renault management, Fernando Alonso will not have the opportunity to use this promising engine. For all these reasons, the staff unanimously gives negative advice on this transformation project. We call on the government to defend the sustainability of employment in the factory.”

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