Nissan says no quick fix to improvement with Renault06/27/2019
The fissures in the Renault and Nissan alliance brought about by the failed merger with Fiat Chrysler Automobiles (FCA) may take a long while to heal, and there is no quick fix in sight. If anything, undercurrents continue to plague the union, with the Japanese automaker saying that inequality between the two companies could unravel the partnership, Reuters reports.
Nissan CEO Hiroko Saikawa said that the company was looking to preserve the spirit of equality in the alliance, despite it not being the case at shareholding level. Speaking at the company’s AGM in Yokohama earlier this week, he said he would continue to ensure Nissan was not left short.
“We want a win-win relationship with Renault. The alliance has been successful until now because we have respected each others’ independence. If necessary, we will put our capital structure on the table. If the relationship becomes a win-lose one, the relationship will break up very quickly,” he said.
Despite both companies having publicly resolved a disagreement between Saikawa and Renault chairman Jean-Dominique Senard regarding appointments to Nissan’s newly-created governance committees, things won’t be left to themselves.
Having a 43.4% share in the Japanese automaker, Renault had demanded additional representation for its directors on Nissan committees overseeing company auditing and personnel nominations. Initially, Nissan was not set to meet those demands, but late last week changed its view and granted seats on its nominations and auditing committees to Senard and Renault CEO Thierry Bollore, respectively.
Saikawa said that discussions on the future of the alliance will eventually come about. “It is critical to create opportunities in the future with Renault to discuss options for the alliance. I want to discuss these with Senard,” he told shareholders.
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