France to Introduce Affordable Electric Vehicle Leasing Scheme to Drive Climate Action

French President Emmanuel Macron has announced the introduction of a new electric vehicle (EV) leasing scheme in France as part of the country’s climate action strategy. With a goal to reduce greenhouse gas emissions by 5% annually and achieve a 55% reduction by 2030 compared to 1990 levels, the scheme aims to transition mobility habits from combustion cars to electric models.

Starting from November, the scheme will provide affordable EV leasing options to help lower-income households access electric vehicles. Initially, a few tens of thousands of EU-made cars will be made available, with the program set to expand in the coming years. The move aligns with France’s commitment, along with other EU member states, to ban the sale of new CO2-emitting cars from 2035.

President Macron emphasized the importance of supporting the European EV industry and avoiding an influx of vehicles from major third-country players like China. Chinese brands have gained significant market share in the EU electric vehicle market, with the potential for further growth. To make EU-made EVs more financially attractive, eligible cars under the scheme will need to comply with France’s ‘green bonus’ rules, which provide incentives for first-time EV buyers.

The new EV leasing scheme is part of a wider “social ecology plan” aimed at reducing the cost of EU-made electric vehicles and strengthening ecological sovereignty. Chinese EV prices in China have dropped by around 50% in recent years, while European EV prices have increased by 17%, making them less accessible to ordinary Europeans.

Certain carmakers, such as MG, Dacia, and Fiat, whose fleets are made in China, will not be eligible for the scheme. France has set a target to produce over one million EVs by 2027 as part of its commitment to expanding the electric vehicle sector. To support this goal, the government will conduct an inventory of French mining resources to ensure the availability of critical raw materials for electric battery production.

This new EV leasing scheme represents a significant step in France’s climate action strategy, promoting the transition to electric mobility and supporting the European electric vehicle industry.

– Ptolemus Consulting Group