The State has decided to end the 2024 edition of “social leasing” but the operation will be relaunched at the end of 2024 for the year 2025 (AFP/Archives/CHARLY TRIBALLEAU)
The slashed prices on electric cars will have only lasted six weeks: after more than 50,000 orders validated and before a new edition in 2025, the Elysée announced on Monday the end of “social leasing” for this year.
The State has decided to put an end to the 2024 edition of this system allowing the less well-off to access an electric car for 100 euros per month, after having “exceeded” its initial objectives for this year, according to the Elysée.
The decree putting an end to this offer must a priori be published on Tuesday. But the operation will be relaunched at the end of 2024 for the year 2025, underlined the Elysée.
“Social leasing”, launched in December 2023 by President Emmanuel Macron, offered rental with purchase option (LOA) at less than 100 euros per month for electric city cars, and 150 euros for family cars (excluding insurance and maintenance ), without initial contribution, and for three years, renewable once.
The government had initially mentioned a quota of 20,000 to 25,000 cars for 2024, depending on the vehicles available, promising to ramp up in the following years.
The offer, which lowered the price of a new electric car to that of a two-wheeler, was immediately a victim of its success.
“With this first wave, we have achieved our objectives and even exceeded all our expectations,” said an advisor to the Head of State.
This measure was aimed at modest French people who drive a lot and buy few new cars for budget reasons and should therefore have waited for more electric vehicles to arrive on the second-hand market to equip themselves.
“Of the 100,000 vehicles normally purchased each year by French people eligible for leasing, this year 50,000 will be electric. This is a real success emblematic of French ecology, good for the wallet and for the planet,” said -he affirmed.
The State heavily finances each rental to a maximum of 13,000 euros and the manufacturers also make an effort on the amount of monthly payments.
The Stellantis group particularly took advantage of this offer by offering its electric Peugeot 208 and Fiat 500 from mid-December, but also larger models like the Jeep Avenger, for a total of 30,000 cars at the beginning of February, the group said on Monday.
“No more French vehicles”
Renault offered its Twingo and Zoé at knockdown prices, but also its Kangoo electric family car, and believes it has “increased its market share” thanks to social leasing, said brand director Fabrice Cambolive.
Only vehicles built in Europe are eligible for this bonus. But among the supported models, only the largest are produced in France, such as the Renault Mégane or the Opel Mokka.
For the Minister of Industry and Energy Roland Lescure, today there is “great demand and we do not yet have enough products manufactured in France. This means that French manufacturers must accelerate the pace or commit to doing so,” the minister declared on Sunday on France 3.
“What’s great about this device (…) is that, at the same time, you [donnez] access to a cheap electric vehicle for people who are not necessarily well off, and you also do it by producing more French vehicles. We have to be able to do both,” underlined Mr. Lescure.
Stellantis insists that it is impossible to build an entry-level car in France and has just opened sales for its small electric Citroën C3, produced in Slovenia and priced at 20,000 euros.
Above all, Renault must market its electric Renault 5 manufactured in the north of France in spring 2024, but at higher prices, from 25,000 euros.
As for other manufacturers, Volkswagen, Skoda, Nissan and Hyundai have also launched offers within the framework of this “social leasing”, but only in January.
The Volkswagen France group indicated on Monday that numerous files had been “received and accepted”, but deplored the fact “of having arrived later than the French in the system”.
© 2024 AFP
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