Renault Set To Name De Meo As Next CEO After Ghosn Debacle

Luca De Meo is poised to become the next chief executive of Renault once the Renault board meets on Tuesday to discuss his appointment.

De Meo is the former head of the Seat brand and stepped down from that position this month.

De Meo is not expected to become Renault's chief executive until July because negotiations pertaining to his contract are still ongoing.

Renault has yet to comment on these developments.

The Italian executive is expected to have a smooth nomination and appointment to the position, considering the nomination has already been approved by invested parties, including the French government.

The French government is a Renault shareholder.

Renault is looking to move past the problems it faced in 2018, and appointing De Meo will fill in the leadership gap at the company following the arrest of former Renault boss Carlos Ghosn in Tokyo 2018.

Renault is also looking to repair business relations with the Japanese brand, Nissan.

Carlos Ghosn was a key figure in developing the Renault-Nissan alliance and was in charge of it for close to two decades.

Ghosn, who now lives in Lebanon after fleeing Japan, is contesting the charges set against him for financial misconduct. He claimed the Renault-Nissan alliance faced "the risk of collapse."

Renault chairman Jean Dominique Senard, who stepped into the position last January, will be working with De Meo. Work needs to be done to change Renault's future.

Senard worked at the tire manufacturer, Michelin, before moving to Renault.

De Meo, the Italian-born French-speaking executive, will be among a small number of "outsiders" with senior executive positions in the company.

De Meo, 52, began his career at Renault though, over the years he has worked for Fiat and Audi.

In his last position, he was credited with overseeing the revitalization of the VW Seat brand by giving it a sporty image.

At Renault, he will be in charge of a larger portfolio that includes the brands, Lada and Dacia.

Renault, like all other car manufacturers, has been facing a drop in demand and stated that it expected a slight drop in demand in China, Russia, and European markets.

The company also stated that 2020 was the year to succeed or fail in its alliance with Nissan.

Renault is being pressured to deliver more on joint industrial projects.

Carmakers across the board are facing different pressures to deliver on cars that meet new emission targets, pollute less, and have cutting edge technology.