Renault has warned that cutting electric vehicle prices will “kill” the residual value of cars, hours after Tesla vowed to keep reducing its own rates to drive sales higher.
The French carmaker said on Thursday its main aim was to keep customers’ monthly lease payments as low as possible, which would require it to protect the “residual value” of a car.
“When you cut prices significantly, residual value takes a hit,” said Renault’s finance chief Thierry Piéton.
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