France, 8 billion plan for the car. Incentives up to 7 thousand euros – La Gazzetta dello Sport

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Macron presents automotive aid. Incentives, fund to support the supply chain and commitment to building at home

An eight billion euro plan is aimed at making France the first European producer of electric and hybrid cars. These are two points of the plan, defined as “historic”, for the automotive sector that French President Emmanuel Macron presented.

the renault knot

The eight billion package of measures does not include the five billion loan for Renault (of which 15% is in the hands of the state) which is currently under discussion and will be subject to the progress of a table with unions and local administrators which will be launched. Monday 1st June. This is because three days earlier, on Friday 29, Renault will present its two billion savings plan which should result in the closure of four plants. Macron also announced that the Renault group has agreed to “join the European electric battery program”Carried out by Psa and Saft (Total Group). Renault, explained Macron, “will enter the capital and develop the project”.

the three steps of the plan

Immediately, however, the care for the segment that comes from lockdown caused by the coronavirus (in April sales fell by 88.8%) and it has uncertain prospects due to the stimulus to buy. In France, the automotive industry employs 400,000 people directly, 900,000 also considering the related industries. “Today – said Macron – there are over 400 thousand vehicles on the market that were to be sold and have not been sold, they will be around 500 thousand in June”. The plan therefore includes three steps: the first to support demand, ie incentives; the second is an investment fund participated by French state and auto manufacturers to support the supply chain; and the third is a “pact between the state, producers and workers” which provides for the strong commitment of the two French manufacturers PSA and Renault to “Relocate some value-added products to France” and to increase the production of electric vehicles in France. “They want to make France the first European country for clean vehicle production, with the aim of producing one million electric cars in France in 2025,” added Macron.

praise to psa

Just in Psa, of which the state owns 12%, the French president applauded the decision to “increase the production of electric and hybrid vehicles on French territory” by adding that the French group in 2021 it will build 130 thousand hybrid or electric cars: completion of the equal merger with FCA is expected in the first months of next year. According to the president of the Psa management board Carlos Tavares “the plan presented by the president of the French Republic fits perfectly with what the Psa group is doing in its daily fight against global warming, accompanied by substantial investments to bring the value chain of France to France. ‘electrification”.

incentives

But how do the incentives announced by Macron work? For the purchase of electric cars there will be help from 7,000 euros for private citizens, of 5,000 euros for companies and local authorities and 2,000 euros for the purchase of rechargeable hybrid cars. France also intends to increase the incentive to scrape the most polluting cars that will be aimed at low-income families. The owners will receive an aid of 3,000 euros from the state and 5,000 euros if it is an electric vehicle. The offer will begin on June 1st for 200,000 vehicles.



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