France's Renault slashes engineer jobs amid pressure from Chinese carmakers

French carmaker Renault has said it plans to reduce its number of engineers by 15 to 20% percent in the coming two years. This means that up to 2,400 of the current 11,000 to 12,000 engineers worldwide would have to leave the company A Renault spokesperson said the cuts would be made without forced layoffs. The development of new technologies and fundamental design work would remain in France, he said. Engineering centers in other countries such as Brazil, India, Morocco, Romania, South Korea, Spain and Turkey will also be reducing the number of engineering posts. European carmakers face intense competition from China Renault, like other European automakers, is struggling with competition from Chinese brands, especially when it comes to electric vehicles. Manufacturers in China are known for their low costs and shorter development times. In March, Renault CEO Francois Provost announced a major restructuring, stating his intention to "compete with Chinese vehicle manufacturers in terms of innovation, cost and speed." Renault also plans to launch 36 new models within the next five years, slashing development time to just 24 months. Timelines for traditional European car makers have usually been much longer.Renault is bringing back the compact Twingo as an electric vehicle with a low priceImage: Gonzalo Fuentes/REUTERS Through collaboration with Chinese engineers at its research and development center in China, Renault has already been able to reduce the development time for the new Twingo to 21 months. Edited by: Darko Janjevic