Bonuses to encourage the French to buy cars. After weeks of discussions between industry professionals and the Ministry of the Economy, Emmanuel Macron is due to announce an auto recovery plan on Tuesday. With the challenge of encouraging the French to renew their vehicle in the context of an economic crisis and greening the park. Increase in the ecological bonus, support for the purchase of a plug-in hybrid car, conversion bonus, what are the tracks expected for Tuesday?
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An ecological bonus of 8,000 euros
The plan should encourage the French to buy electric cars, Bruno Le Maire announced in mid-April. According to indiscretions of Echoes and Parisian, the ecological bonus should go from 6000 to 8000 euros for individuals.
Another essential point: while it had been halved for professionals at the start of the year, the ecological bonus for the purchase of an electric car should drop to 6000 euros. It was clearly a demand from the sector, with the fall of the bonus, orders by the pros had also declined. However, they represent more than half of new car purchases.
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A bonus for plug-in hybrids
Another novelty: plug-in hybrid vehicles will receive a bonus. It should be 2000 euros. These vehicles combine an internal combustion engine and an electric motor as well as a battery, enough to cover a few dozen kilometers every day in all-electric mode.
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An extended conversion bonus
The automotive plan should also review the system of the conversion bonus. Very popular since its launch in 2018 as it used to acquire used cars, it had been planed last summer. It was too expensive for state finances. The new version of the premium should increase to 2,000 euros for modest households, and 4,000 euros for very modest households. Details of the eligibility criteria are expected to be released on Tuesday. If you still have to scrap an old car to get it, more vehicles could get it. Here too, the details should be known on Tuesday.
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Aid for the installation of charging stations
According to The Parisian, the plan should also include aid for charging station installations, to reassure the French in their use of electrified cars. This week, on BFMTV, the Secretary of State for Transport, Jean-Baptiste Djebbari, had also requested the deployment of 100,000 terminals by 2022 on the highways. The plan, for its part, should help finance terminals installed at home, for example in condominiums.
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Will consumers be there?
Several questions remain unanswered, however. First, the duration of this plan. It should be implemented quickly, but for how long? This will clearly depend on the budget that the government has chosen to allocate for these purchasing aids. Then, will the various aids always be cumulative, like today bonus and conversion bonus for example, which would offer very interesting formulas.
Last but not least, are the French going to want to go to the dealership and buy a car? Faced with the economic crisis, it is a real uncertainty on which the builders as the government have little visibility.
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