CEO de Meo Steps Down at Renault
In a surprising move, Luca de Meo, the CEO of French automaker Renault, has announced his departure from the company to take up a new role as the CEO of Kering, a prominent luxury group headquartered in Paris. Kering is renowned for owning luxury fashion, leather goods, and jewelry brands such as Gucci, Saint Laurent, Bottega Veneta, Balenciaga, and others.
De Meo's tenure at Renault, which began in 2020 during the COVID-19 pandemic, saw him steer the company through challenging times. He joined Renault when it was posting record losses, but under his leadership, the company has undergone a remarkable transformation and is now one of the few automakers not to issue a profit warning for this year. Renault's shares have increased about 90% over the past five years, making it the best-performing carmaker in Europe.
The strategy that De Meo implemented at Renault, however, has caused friction with labor unions due to his cost-cutting measures, which included reducing the number of employees and global vehicle production. These measures were necessary to protect Renault from sales hurts in the U.S., unlike its rival German brands, as the company refocused on core European markets.
De Meo's exit from Renault will be felt in the European industry, especially during the current uncertainty posed by tariffs from U.S. President Donald Trump and fierce competition from Chinese rivals. The Renault board of directors, in a company statement, thanked De Meo for his achievements in turning the brand around and thanked him for leaving the company poised for the future.
Kering, on the other hand, is currently managing a significant debt load of €10.5 billion as a result of ambitious acquisitions and investments. The group, which employs about 47,000 people, is known for nurturing its luxury Houses with a commitment to creativity, excellence, sustainability, and culture, incorporating sectors like couture, ready-to-wear, jewelry, eyewear, and beauty.
De Meo's mandate at Kering will likely focus on leveraging his extensive automotive and executive experience to enhance the group’s competitiveness, innovation, and operational efficiency within the luxury sector. He is set to take charge of Kering starting mid-September 2025 and will be responsible for presenting a review of Kering’s business in 2026 and leading the group’s future direction, including decisions regarding its portfolio of luxury Houses and addressing the company’s financial strategy.
De Meo himself expressed that he is leaving Renault to take on new challenges outside the automotive sector and looks forward to driving strategic business oversight, managing luxury brand portfolios including Gucci, and steering the company through financial and market challenges as the new CEO of this leading luxury conglomerate.
- With his departure from Renault, Luca de Meo will bring his extensive experience in vehicle production and automotive business leadership to the luxury sector, as he takes on the role of CEO at Kering.
- The finance and transportation industries will be observing Kering closely as De Meo's mandate is expected to focus on using his expertise to increase the group's competitiveness, bolster innovation, and optimize operational efficiency.
- As De Meo prepares to join Kering later in 2025, the luxury group, which operates in various sectors such as couture, jewelry, and beauty, will rely on his leadership to forge a new direction for the company, address financial concerns, and make strategic decisions regarding its luxury Houses.
