The year 2024 confirms the slowdown of the automobile market in France. Between a difficult economic context, regulatory pressures, a market that does not meet buyers' expectations, sales of new cars continue to decline with 1,718,417 registrations in 2024, a drop of 3.2% compared to previous year.
A few years ago, it was considered that the sale of two million new vehicles was the norm for a mature French market which was renewing itself regularly after a record year in 1990 with more than 2.3 million units sold. But the cards have been profoundly reshuffled after the Covid crisis with, in recent years, rising prices of new vehicles, major recall campaigns which have damaged the image of certain manufacturers, the reduction in aid, pressures regulations and policies to limit traffic in cities or even electric vehicles which do not meet consumer expectations with sales for the year 2024 down by 3% despite all the incentives.
And to make matters worse, manufacturers in France in December were forced to slow down deliveries of thermal models (even if some charged cut prices to free up stocks at the end of the year) to comply with the European CAFE standard ( Corporate Average Fuel Economy), under penalty of being inflicted with colossal fines.
Biggest drop for Stellantis, Toyota on the rise
In this context, the Stellantis group (Peugeot, Citroën, Fiat) recorded over the year, according to the Automotive Platform which brings together the main French manufacturers, the sharpest decline (-7%) with 452,900 new cars sold. For its part, the Renault group limits the damage a little with a drop of 2.7% in 2024 with 425,116 copies thanks in part to Dacia and the arrival of the new fully electric R5.
Conversely, the Toyota group sold 134,772 passenger cars, an increase of 18.6% driven by sales of hybrid vehicles with in particular its small Yaris Cross, the only category to progress this year and which is placed in ahead of gasoline for the first time with more than a third of market share. Even if in concrete terms, these vehicles are primarily gasoline engines to which an electric motor has been added.
Electricity does not take off
For its part, Tesla plummeted with 40,636 registrations (- 36%), even if its Model Y remains at the top of electric car sales ahead of the Peugeot e-208 and Renault Mégane E-Tech. And even Chinese manufacturers who have arrived with cheaper electric models are unable to get sales off the ground, particularly due to the loss of the bonus they could previously benefit from.
According to Argus, in 2024, sales to individuals will decline by 4% and by 9% for companies which represent almost a third of the market.
For 2025, it is difficult to envisage a trend reversal. Especially since the incentives will melt like snow in the sun with the revision of the bonus and the end of the conversion bonus. Under these conditions, buyers risk falling back on used vehicles.
In addition, half of the regions of France, or six, have voted to increase the tax rate from 2025. For motorists, this new tax increase will increase the price of the registration document.