UK tax changes and limited demand for the 2016 Alaskan will mean Renault won't add to its commercial vehicle range with a 4x4 pick-up
Renault has ruled out a return to the European pick-up market, citing low demand and the collapse of UK volumes following changes to the UK taxation for company car buyers.
Speaking with Van Reviewer, Jan Ptacek, VP Renault LCV Business Unit, said: “The pick-up segment in Europe is really very small. Today we don’t really have a plan to go into this segment.”
Renault previously offered the Renault Alaskan (pictured) pick-up in Europe, but the Nissan Navara-based model failed to gain significant traction and has since been discontinued. Despite having revealed a Renault Niagara Concept as a replacement for the half-tonne sized Dacia Oroch, and a larger one-tonne variant mooted for 2027 for South American markets, recent tax changes in the UK, which was previously one of the strongest European pick-up markets, have scuppered any chance of a European version.
Ptacek suggested the issue is not just volume, but also increasing fragmentation within the segment where lifestyle and commercial versions, not to mentioned ICE, plug-in and BEV powertrains, are necessary in order to compete with established leaders like the Ford Ranger and Toyota Hilux.
“It’s a very specific market with relatively low potential,” Ptacek continued.
“On top of it, you have several sub-segments that we would need to cover. So it’s quite a big diversity for relatively low potential. In Latin America, the pick-up segment is very important. We will continue to develop this offer there,” he said.
In the UK, the combination of tax changes and shifting fleet priorities appear to have halted any near-term revival in the pick-up truck market, despite the re-entry of Mitsubishi and the likely arrival of Chinese brand Foton.
Renault UK managing direcotr, Adam Wood, said demand has effectively collapsed following revisions to the BIK tax on double cab pick-ups.
“We’ve seen the pick-up market in the UK all but disappear. Historically it was heavily driven by fiscal incentives. When they changed, we’ve seen the market decimated,” Woods said.
Pick-up truck registrations are down 54.8% across Q1, according to figures from the SMMT. Full year figures, following the decision to apply passenger car levels of BIK to double cab trucks, will be released next month which may show the true extent of the taxation changes on the state of the market.
