Renault says split electric unit could employ 10,000 people by 2023

© Reuters. The new Renault Megane E-Tech 100% electric car is on display ahead of the 2021 Munich Motor Show during a presentation in Aubervilliers near Paris, France, on September 2, 2021. REUTERS/Eric Gaillard

PARIS (Reuters) – French automaker Renault (EPA: ) Two business units created by plans to separate electric and conventional vehicle production will each employ 10,000 people by 2023, it said on Thursday.

In a statement, Renault said it was currently studying options for the creation of two separate entities to manage a major shift to fossil-fuel-free vehicles, and would present the progress of those studies at its capital markets day in the fall.

“The purpose of these strategic reflections is to adapt each technology using the Group’s strengths and expertise within each market and alliance,” said Renault.

Renault reiterated that jobs handling EV production would be bundled within France, while the workforce for conventional cars would be located abroad.

Earlier this year, sources told Reuters that Renault Chief Executive Luca de Mayo wanted to move forward with plans to break up the group despite potentially high-cost uncertainty about its interests in Russia.

The French automaker first outlined its strategic shift in February as it catches up to rivals such as Tesla (NASDAQ: ) and Volkswagen (ETR: ).

Two of the three sources said several working groups were actively working on the creation of two separate legal structures, code-named “Ampere” for electricity and “Horse” for thermal and hybrid assets.

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