PARIS (Reuters) — Renault posted forecast-beating first-quarter sales and confirmed its target for positive free cashflow in the year as a whole, while warning of a difficult economic environment.

Carmakers whose sales have been buoyed by government scrappage incentive schemes are worried about the effect on car demand when the schemes run out.

The French carmaker confirmed an earlier forecast of a 10 percent decline in the European market as a whole this year.

Renault said it was on track to meet its 2010 objectives of positive free cash flow and an increase in market share. Its global market share was up 0.37 points in the first quarter.

Asset sales would play a role in meeting the positive free cash flow target, Chief Financial Officer Thierry Moulonguet told a conference for analysts on Tuesday.

“We also know that asset sales will play a role in this process and from my point of view, we have some flexibility and we were certainly encouraged by the recent evolution of the share price of Volvo after a good results presentation for Q1,” Moulonguet said. Continue reading Renault confirms full-year goal after Q1 sales beat forecasts

MUMBAI (Reuters) — Renault is quitting a money-losing joint venture with India’s Mahindra & Mahindra after disappointing Logan sales, and is expected to focus on other projects in the potentially high-growth market.

European carmakers are increasingly looking to the fast-growing BRIC markets — Brazil, Russia, India and China — as they emerge from a deep crisis and as scrapping incentive schemes in mature markets that boosted car demand wane. Continue reading Renault quits joint venture with India’s Mahindra

TOKYO (Bloomberg News) -- Renault SA, Nissan Motor Co. and Daimler AG expect to save “billions of euros” by sharing development costs as part of an equity-swap alliance, two people with direct knowledge of the talks said.

The automakers aim to sign an agreement that will include cross-shareholdings from 3 percent to 4 percent as early as Wednesday in Brussels, said the people, who declined to be identified as the discussions are private. They plan to share development costs for platforms and technologies including powertrains, the people said. Continue reading Renault-Nissan, Daimler alliance may see ‘billions’ in savings