The automotive industry is severely shaken by the Covid-19 pandemic. Global sales are expected to fall by 30% in 2020. In France, following containment measures, the market has already plunged by 72% in March, and could be at – 90% in April.
The concessions will soon be able to reopen, but the manufacturers are worried about the recovery. They fear that the French will not quickly find their way to showrooms. To encourage recovery, the introduction of new purchasing aids is envisaged. In mid-April, the Minister of the Economy Bruno Le Maire had already shown himself favorable to it.
Le Parisien reveals that the government is working on various measures to encourage motorists to change cars. But as Bruno Le Maire already said, “so that there is both a revival of the economy and a revival of growth, but sustainable growth, green, which is more protective of our environment”, the aids would target the trendy models.
With regard to 100% electric, the boost would target businesses first. They could once again benefit from a maximum bonus of € 6,000 on cars, while their bonus was halved on January 1, 2020. For individuals, the maximum amount had remained at € 6,000 and would not budge not.
The big news would be the introduction of a bonus for rechargeable hybrids. This has notably been requested by PSA and Renault, which market or will market models of this type: Citroën C5 Aircross, DS7 Crossback, Peugeot 3008 and 508, Renault Captur and Mégane. The bonus would however be less than that of electrics.
Another avenue advanced by our colleagues, and not least: a differentiated VAT according to the type of engine could be implemented. For all new cars, the rate is now 20%. We imagine that this rate could drop for electric and plug-in hybrid models.
Aid for the purchase of second-hand parts is also being studied (reduced VAT, premium).
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