Renault and Turgis Gaillard Confirm Drone Deal: Europe’s Struggling Automakers Found Their Exit Strategy

Seven months ago, we reported that France’s defense ministry had approached Renault about drone production. At the time, Renault told Reuters that discussions had taken place but no decision had been made. Today, that deal is official, and the partnership reveals far more about Europe’s strategic recalculation than a standard defense contract announcement.

Renault has confirmed a partnership with French defense firm Turgis Gaillard to manufacture military drones for Ukraine, marking the French automaker’s first confirmed entry into defense manufacturing since World War II. The deal, backed by France’s defense ministry, will leverage Renault’s industrial production expertise at two of its facilities.

• The Development: Renault will produce military drones in partnership with Turgis Gaillard at two manufacturing sites, with the French government directing the project to support Ukraine’s defense.
• The Scale: French newspaper La Tribune reports production targets of up to 600 tactical drones per month by the end of the first year, though Renault declined to confirm these figures.
• The Source: Financial Times and Reuters first reported the confirmed partnership on January 20, 2026.

Renault’s defense ministry partnership leverages automotive precision for military production

The Renault-Turgis Gaillard partnership transforms automotive manufacturing infrastructure into military drone production capacity under direct supervision of France’s defense procurement agency. Renault’s Chief Growth Officer Fabrice Cambolive confirmed the deal in an interview with French news channel BFM TV, stating the company was contacted months ago by the French Ministry of the Armed Forces about developing a French drone industry.

“We were contacted for our industrial, production and design expertise,” Cambolive told BFM TV on Tuesday. “This project is ongoing and is led by the defence ministry. We confirm our participation in this project, at the request of the state.”

The specific Renault facilities where drones will be manufactured have not been confirmed. French magazine Usine Nouvelle reported that production could occur at Renault’s Cléon and Le Mans plants, but Cambolive declined to confirm this information. The contract value and total number of drones to be produced also remain undisclosed.

Cambolive emphasized that Renault’s core business would remain automotive manufacturing, positioning the drone partnership as a complementary initiative rather than a strategic pivot.

Turgis Gaillard brings the AAROK, a 20-meter drone capable of carrying three tonnes

Turgis Gaillard is a French defense contractor founded in 2011 that employs approximately 400 people and generates annual revenues of around €80 million. The company’s flagship product is the AAROK, a medium-altitude long-endurance drone with a 20-meter wingspan that can carry nearly three tonnes of fuel, weapons, or equipment.

We first covered the AAROK at the 2023 Paris Air Show, where its scale immediately distinguished it from typical tactical drones. The AAROK’s 5.4-ton weight and 72-foot wingspan place it in the same class as larger reconnaissance platforms, with 24-hour endurance capability for extended surveillance or combat missions.

According to La Tribune, the Renault partnership may produce a different tactical drone measuring approximately 10 meters in wingspan, offered at what the newspaper described as an “extremely competitive price.” If accurate, the 600 units per month production target would represent significant volume manufacturing, though Renault declined to comment on these specifications.

The contract follows France’s June 2025 call for automotive-defense collaboration

France’s government formally requested in June 2025 that automotive and defense companies collaborate on drone production lines. Defense Minister Sébastien Lecornu stated at the time that France would establish partnerships between major carmakers and small defense firms to equip production lines for building drones, potentially including manufacturing in Ukraine.

The Renault-Turgis Gaillard deal follows this framework precisely. By pairing an automaker’s high-volume manufacturing capability with a defense firm’s drone expertise, France aims to rapidly scale production in ways that traditional defense contractors have struggled to achieve.

Other French companies have joined similar initiatives. Car parts supplier Valeo is participating in a broader “defence drone pact” alongside approximately 100 other companies. Fonderie de Bretagne, which specializes in vehicle parts, is preparing to manufacture hollow shell casings for military applications.

This broader industrial mobilization reflects a pattern we have documented throughout 2025, as France scrambled to finalize co-production agreements with Ukraine before year-end deadlines while facing competition from the UK and Germany, which had already established direct funding channels.

Europe’s automotive-to-defense crossover accelerates amid diverging industry fortunes

The Renault partnership illustrates a broader economic realignment across European manufacturing. While defense orders have surged as the continent increases military spending in response to Russia’s invasion of Ukraine, the automotive sector has struggled with the transition to electric vehicles and intensifying Chinese competition.

This divergence creates natural incentives for automakers to explore defense manufacturing. The Morgan Stanley analysts who proposed that Tesla could enter drone manufacturing noted that automotive companies possess relevant capabilities in battery technology, precision engineering, and high-volume production that transfer directly to drone systems.

France’s defense sector has experienced remarkable growth during this period. We reported in October 2025 that French underwater drone maker Exail saw its stock surge 370% as European defense spending accelerated. The EU has committed €6 billion to scale Ukrainian drone production, while setting a target of sourcing 50% of defense equipment from European suppliers by 2030.

Renault’s history provides precedent for this pivot. The French automaker previously manufactured defense equipment including tanks during both World War I and World War II, demonstrating that the company has successfully converted automotive production to military applications before.

DroneXL’s Take

When we broke the news of France approaching Renault about drone manufacturing last June, skeptics questioned whether a major automaker would actually commit to defense production. Today’s confirmation validates what we saw coming: Europe’s industrial base is fundamentally reorganizing around defense priorities, and traditional sector boundaries are dissolving.

The significance extends beyond one partnership. France is explicitly building a model where automotive manufacturing infrastructure becomes a strategic defense asset. If Renault can produce 600 drones monthly using adapted automotive assembly processes, that template becomes replicable across European carmakers facing similar pressures.

What remains unclear is whether French production can achieve cost competitiveness with Ukraine’s battle-tested manufacturers, who produce battlefield-ready FPV drones for under $500 while maintaining rapid iteration cycles driven by real combat feedback. As we have documented extensively, Ukrainian manufacturers now produce approximately 4 million drones annually with over 500 companies operating in the sector.

The reference to “extremely competitive pricing” in La Tribune’s reporting suggests France understands this challenge. Traditional European defense procurement has consistently struggled to match Ukrainian cost structures. If Renault’s automotive efficiency can close that gap while maintaining NATO-aligned supply chains, other European automakers facing EV headwinds may follow.

Expect announcements from additional European carmakers exploring defense manufacturing partnerships within the next six months. The economic logic has become too compelling to ignore, and Renault has now demonstrated that major automakers can move from initial ministry discussions to confirmed partnerships within a single year.

Editorial Note: This article was researched and drafted with the assistance of AI to ensure technical accuracy and archive retrieval. All insights, industry analysis, and perspectives were provided exclusively by Haye Kesteloo and our other DroneXL authors, editors, and YouTube partners to ensure the “Human-First” perspective our readers expect.