Big loss! Nissan shock to Renault

According to the news in Euronews; Nissan shares, which were previously accounted for using the equity method, will be considered as financial assets measured by Nissan's share price as of June 30, 2025.

Renault said in a statement that this new approach will align the value of the Nissan stake with the Nissan share price. It also emphasized that this non-cash loss will have no impact on the dividend calculations to be paid by the Renault Group.

THE PARTNERSHIP HAS BEEN CONTINUING SINCE 1999

Renault has had a strategic partnership with Nissan since 1999 and owns about 36 percent of the Japanese automaker. However, Nissan shares have lost 28 percent of their value since the beginning of the year. The Japanese company recently announced a net loss of about 4 billion euros for the fiscal year ending in March 2025 and announced that it would cut 20,000 jobs worldwide.

Renault Group includes brands such as Dacia, Alpine and Mobilize. The company managed to increase sales despite a broader market downturn in the first quarter of 2025. Meanwhile, automakers around the world are also struggling with trade uncertainties triggered by U.S. President Donald Trump’s tariff policies.

CEO RESIGNS, UNCERTAINTY INCREASES

Renault’s future has been further uncertain after CEO Luca de Meo recently stepped down to take over as leader of luxury group Kering. Meanwhile, the sustainability of the long-term alliance between Nissan and Renault has also been questioned. There have been reports that the two companies are looking for a way out of the strategic alliance that has bound them since 1999.

However, Renault sent a clear message to investors, stating that the operational projects resulting from the strategic partnership with Nissan continue intact with a pragmatic and business-oriented approach.