Renault confirms its choice of LFP batteries, which are more cost-effective and help reduce vehicle prices. The brand will also innovate with a world premiere.
Renault is evolving its battery strategy. In addition to NMC (Nickel Manganese Cobalt), its electric vehicles subsidiary Ampere, will source LFP (Lithium Iron Phosphate). In a statement, Renault writes: “This decision is an effective and innovative response to market volatility and evolving technologies.”
The main advantage of LFP is its lower cost, allowing for more affordable electric vehicles. However, LFP is less energy-dense than NMC, making it suitable for small cars or compact cars with basic range.
To supply LFP batteries, Renault has partnered with LG Energy Solution and CATL. The company says it has worked “hand in hand” with them to “establish an integrated value chain in Europe to ensure increased competitiveness of LFP technology for vehicles manufactured in Europe.” CATL has a factory in Hungary, while LG is in Poland. The contracts run until 2030.
Furthermore, with LG, Renault (or Ampere) has developed the “Cell-to-Pack” technology. The manufacturer emphasizes that this is a “major innovation, a world premiere for pouch-type batteries.” Cell-to-Pack will allow more cells to be integrated into a given space, improving the range of vehicles equipped with LFP. This is a way to overcome the lower energy density drawback.
With these two elements, Renault aims to reduce battery costs by around 20%. These changes will be implemented by early 2026, coinciding with the launch of the new Twingo, which promises a base price below €20,000. LFP was almost essential to achieve this. The R5 will also benefit from lowered prices. Surprisingly, Renault also announces it for Alpine.