Renault’s Dacia brand, known for budget-friendly cars, is developing a new electric city car for Europe. This new model, designed as a successor to the Dacia Spring, will be closely related to the next-generation Renault Twingo.
Unlike the Spring, which is imported from China, the new car will be manufactured in Europe. Renault CEO Luca de Meo stated the goal is to price the new model from less than €18,000 (£15,000). Building the car in Europe avoids import tariffs, increasing profitability.
The car is slated for market readiness in just 16 months, a remarkably quick development timeline. This rapid pace is thanks to Renault Group’s new “Leap 100” initiative, targeting a 100-week development cycle for all new cars. This marks a significant shift toward faster development, mirroring the speed of Chinese manufacturers.
The new car will share the Ampr Small platform with the next-generation Twingo, which is a version of the architecture found in the Renault 4 and 5. The Twingo is projected to cost 40% less to build than the Renault 5, partly due to a 30% reduction in components, with the Twingo using just 750 parts in total.
This new city car is part of Dacia’s plan to broaden its offerings. The car is expected to launch around mid-2026, about a year before the third-generation Sandero, which will also be available as an EV.
Dacia’s strategy focuses on minimizing development costs to provide competitive pricing while remaining profitable. The brand uses Renault platforms across its models and has a strong focus on value for money.
Despite market challenges, Renault has shown good performance. The company reported a strong operating profit, and de Meo expects to maintain a group operating margin above 7% in 2025.
Under de Meo’s leadership, Renault has transformed itself, recovering significantly from a challenging financial situation. This turnaround reflects the company’s focus, discipline, and hard work, which de Meo has praised.
