September 15, 2017 / 6:32 AM / 2 months ago

Renault-Nissan vows to double synergies in convergence push

PARIS, Sept 15 (Reuters) - The Renault-Nissan alliance pledged on Friday to double savings from closer integration to 10 billion euros ($11.9 billion) by 2022, thanks in part to increasing cooperation with recently acquired Mitsubishi Motors.

Combined annual sales volumes are expected to rise to 14 million vehicles over the same five-year period from about 10 million today, with revenue advancing by one-third to $240 billion, the alliance said in a statement.

With 5.27 million cars and vans delivered in the first half, ahead of Volkswagen and Toyota, Renault-Nissan now claims the mantle of the world’s biggest carmaker - although parent Renault has never consolidated the sales of its 43.4 percent-owned Japanese affiliate into its own.

Alliance Chairman Carlos Ghosn has pledged to step up the pace of integration since Nissan took a controlling stake in Mitsubishi last year. The 18-year-old Renault-Nissan pairing has only recently begun rolling out cars on common architectures.

Under existing plans, the alliance is seeking to increase synergies - from costs cut or avoided and revenue enhancements - to 5.5 billion euros next year from 5 billion recorded in 2016. (Reporting by Laurence Frost and Gilles Guillaume; Editing by Sudip Kar-Gupta)

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