Renault to make drones with Thales to support French defence sector
Renault to make drones with Thales to support French defence sector By Gilles Guillaume
PARIS, June 16 (Reuters) - France's Renault Group RENA.PA will produce military drones with defence technology firm Thales TCFP.PA, the companies said on Tuesday, marking a further push by the automaker into defence manufacturing.
Renault will build Thales' Toutatis remotely operated loitering munitions at one of its factories, with production of 1,000 units a month starting as early as next year.
The agreement, announced at the Eurosatory defence fair outside Paris, is the second partnership in defence between the two groups, which are also working together on a military vehicle.
The companies said the deal would significantly ramp up France's industrial capacity in a strategic area. Loitering munitions - drones that hover over a target area before striking - have played a central role in the war in Ukraine.
Russia's invasion of Ukraine and a shift in U.S. foreign policy under President Donald Trump have driven European countries to boost defence spending, prompting arms makersto tap spare capacity in the auto sector to increase output.
Renault said in February it had been asked by France's armed forces ministry to help strengthen the country's defence sector.
Renault's industrial expertise will help scale up drone production more quickly and at lower cost, CEO Francois Provost said.
The short-range drone project adds to Renault's Chorus programme with drone maker Turgis Gaillard to develop a long-range model. A first demonstrator is expected by the end of this year, followed by monthly output of 600 drones at Renault's Le Mans plant.
Renault has said carmaking remains its core business, though it is also working with Belgian group John Cockerill on a ground drone. John Cockerill Defense bought French military vehicle maker Arquus from Swedish truck manufacturer Volvo in 2024.
(Reporting by Gilles Guillaume. Writing by Dominique Patton. Editing by Mark Potter)