PARIS (Reuters) – Registrations of new cars in France increased by 14.54% in raw data in December, according to figures published on Monday by the Automobile Sector Platform (PFA), giving an increase for the whole of 2023 of 16.07% – the highest percentage in ten years.
This performance, mainly attributable to a catch-up effect after the recent disruptions linked to chip supplies and logistical difficulties, does not eclipse the fact that in absolute volume, the market is still far from having returned to its previous levels. -COVID.
In 2022, new car registrations fell by 7.8% due to semiconductor shortages, after stagnating in 2021 and falling by more than a quarter in 2020 due to the health crisis.
Despite its rebound last year, the market remains well below its 2019 level (2.2 million registrations).
181,011 private vehicles were registered in France last month, reported the PFA. December had 20 working days in 2023, compared to 22 in 2022.
Over the past year, the market recorded 1,774,729 registrations.
These are expected to grow again in 2024, but several PFA spokespersons emphasize that it is difficult at this stage to say by how much.
The unknowns hovering over the year ahead remain numerous with geopolitical tensions and the inflationary context, which are weighing on household morale, without forgetting the uncertainties fueled by changes in public aid for electrification.
Germany has thus decided to abruptly end its bonus for electric vehicles, while France has tightened the criteria for awarding its bonus, to take into account the carbon footprint of the entire production cycle, and could, according to Les Echos, reduce by 1,000 euros the aid of 5,000 euros in force excluding low-income households.
The Association of European Automobile Manufacturers (Acea) expects a clear deceleration in the growth of the entire European automobile market next year to around +2.5%, compared to +12% estimated in 2023.
Sales of electric cars on the continent are expected to increase by 30% to 40%, compared to +55% estimated in 2023, growth also slowed but still vigorous thanks to a possible start of a long-awaited reduction in prices, and a multiplication of the range of models, from historic brands as well as from Chinese competition.
EvercoreISI analysts are more pessimistic due to the lack of visibility on aid and prices.
“Until there are sufficient numbers of new, more affordable models, we will initially adopt a more conservative stance,” auto analyst Chris McNally told Reuters in an email.
EvercoreISI expects growth of 10-15% for the entire market for electrified vehicles – including hybrids – in Europe in 2024.
(Written by Gilles Guillaume, edited by Jean Terzian)
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