UPDATE: Renault electric car espionage suspect was in 30-member panel headed by Carlos Ghosn

French carmaker Renault has said that suspected industrial espionage against its business poses a serious threat to its "strategic assets".

The statement comes a day after Renault suspended three senior managers after an investigation into the possible leaking of electric vehicle secrets.

Commenting on the matter, French Industry Minister Eric Besson warned the country was facing "economic war". Mr Besson said the situation at Renault "appears serious".

"The expression 'economic war', while sometimes outrageous, for once is appropriate," he told France's RTL radio station. "It appears to concern the electric car, but I do not want to go further."

Mr Besson said he was calling for French companies which received public funds to improve their security.

Sources said that those suspended had all headed electric vehicles projects and one was a member of the company's management committee, a 30-strong panel of top managers headed by chief executive Carlos Ghosn. The suspension without pay of the staff is a first step towards possible disciplinary action. The three were required to leave their offices on Monday, the sources said.

Renault plans to launch electric versions of its Fluence model priced at about 25,000 euros (34,000 dollars) and its Kangoo Express for about 20,000 euros in mid-2011, and its smaller Twizy and Zoe models in late 2011 and 2012. It forecasts that electric cars will make up 10 percent of the market by 2020. Along with its Japanese partner Nissan, it is investing 200 million euros a year in the programme.

Nissan has already launched an all-electric car for the mass market, the Leaf, in Japan and the United States, where it sold out on pre-orders. The Leaf is set to be launched in select European markets in early 2011.

Other major car makers are in on the act, preparing to launch electric cars. Among Renault's French competitors, Citroen is making the C-Zero and Peugeot the iON. Tata of India is preparing to launch the Vista EV. Mercedes-Benz of Germany has an electric smart car, the Fortwo ED, while in Japan Mitsubishi has the iMiEV and Toyota the Prius Plug-in.

This is in contrast to rivals such as General Motors and Toyota, the world's two largest carmakers, which are instead investing heavily in hybrid vehicles, which use both an electric and a petrol engine.

Sources: BBC and AFP

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