French President Emmanuel Macron has promised to increase the electric vehicle subsidy for low-income households from 6,000 euros to around 7,000 euros.
This subsidy is given in order to help underprivileged families buy electric cars and encourage more local production. Macron made this statement in an interview with French business daily Les Echos before visiting the Paris Motor Show.
The more affluent electric car buyers will only receive a subsidy of 5,000 euros. Subsidies are given to all residents to immediately switch to using electric vehicles that are more environmentally friendly.
The French government also provides a low installment program of 100 Euros per month to help low-income families buy electric cars. This installment assistance will begin in early 2024.
Various subsidies are given because the current purchase price of electric vehicles is more expensive than conventional oil-fueled vehicles.
“We have an industrial strategy for people to buy more French (cars),” Macron told Les Echos.
From the manufacturer’s side, Renault, a French vehicle manufacturer, issued a cheap electric car. The electric car in question is the Renault 4 which will be launched at the Paris Motor Show and marketed in 2025.
The French president also announced that after focusing on electric vehicle production in Douai and Maubeuge, he would appear with Stellantis CEO Carlos Tavares at the Paris Motor Show to announce local electric-fueled products.
Reportedly, Stellantis will make electric car models from the Peugeot 408 and 308. Currently, the two vehicles are only available in internal combustion engine and hybrid versions assembled at Mulhouse.
It is known, the Renault Group plans to produce pure electric vehicles by 2030. Then, on November 8, 2022, Renault will announce its strategy to create a unit that focuses on electrification and software.
France will produce one million EVs by 2027, Emmanuel Macron says