This year, France launched a new aid plan for electric cars, leaving out those that are not manufactured in Europe. Protectionist incentives, since they de facto left out Chinese electric cars. Now they propose a single aid program at European level: that EU member countries apply unified incentives based on their model.
This measure, like the definitive tariffs that are already applied to Chinese electric cars, would be focused on protecting the European industry from the threat of the People’s Republic because its cars are artificially cheap, precisely thanks to government aid.
A European incentive program that would benefit France and also Spain
Several European countries have been applying aid to electric cars in recent years to encourage their purchase. In Spain we have MOVES IIIwith up to 7,000 euros of incentives for electric and plug-in vehicles, which will end in December unless extended. In Germany they eliminated them because they couldn’t afford it, although they have just launched them again due to the brutal drop in sales of electric vehicles. The same thing happened in Norway.
In France, they defined new aid starting in January 2024: based on emissions throughout the car production chain, it left out models not manufactured in Europe. Which mainly affects Chinese electric cars imported from the People’s Republic. And they want their strategy to be extended and unified throughout Europe.
A unique purchasing aid for everyone, for companies and individuals. This has been proposed by the French Minister of Industry, Marc Ferracci, according to media such as EV Magazine. It would be an incentive program that would be applied equally by each of the EU member states.
The French aid program values which cars can enjoy the aid taking into account production materials, the emissions generated in its manufacture or the origin of the batteries and the car itself. Only those who meet a score of 60 out of 80 can benefit from this aid, focused on individual buyers.
This means that in general zero-emission cars manufactured outside the EU are left out. But it mainly affects Chinese models, which are the most numerous on the European market. Although not only Chinese, for example the Dacia Spring that is manufactured in Hubei (China). Also, for example, the cheapest Tesla Model 3, which continues to be imported from the People’s Republic, or the MG4, one of the favorite electric cars on the European market due to its competitive price.
The Renault 5 E-Tech is manufactured in Douai, a plant in northern France
And in turn it benefits our neighboring country, as there are several French models that are conceived in French plants: Renault Zoe, Renault Mégane E-Tech, Renault 5 E-Tech, Citroën ëC4 or Peugeot e-2008. Although it would also do so to Germany or Spain: in Figueruelas (Zaragoza) the Peugeot e-208, the Opel Corsa-e and the electric Lancia Ypsilon are launched, in addition to their thermal options. Many of these models are exported to other European countries.
Furthermore, these unified purchasing aid would not only be focused on individuals, but also to company and administration fleets. A key component in their proposal since they form an important part of the vehicle fleet of each country and therefore contribute significantly to emissions.
“We have a problem with China’s competitiveness, demand and unfair trade practices. The future of our auto industry depends on whether we find an answer to these colossal challenges,” defends Ferracci.
A proposal for a divided Europe with Chinese electric cars. In any case, it is a proposal whose intention is to be submitted to the European Parliament and will have to be voted on by the member states. Europe right now is divided between countries that opt for protectionism and those that do not, due to possible retaliation from China.
France, Italy, Greece and Poland voted in favor of tariffs on Chinese cars, while Germany was against. Spain abstained and is in fact playing a double game, strengthening ties with China to be a gateway for its cars to Europe and also as a strategic partner by manufacturing Chinese electric models here and thus helping them avoid tariffs.
Source: www.motorpasion.com
