Between stagnation and change, the automobile market in France in 2024 confirms that buyers of new vehicles are lost.
In December 2024, the new passenger car (VPN) market saw a slight increase of 1% compared to the same period of 2023, benefiting from an additional working day. However, over the whole year, registrations fell by 3%, with 1,718,412 units registered compared to 1,774,722 in 2023, according to data from AAA Data, a specialist in automotive analysis.
A mixed year
After a notable improvement in 2023 (+16%) and an encouraging start to 2024, the market ran out of steam in the spring, leading to an overall loss of 56,310 units. Compared to the pre-Covid era, nearly 500,000 vehicles are missing, highlighting a structural transformation of the sector.
All distribution channels are affected, but businesses (14% of the market) recorded the largest decline with -12%, held back by an uncertain economic climate. Individuals (46% of the market) and long-term rental companies (15%) follow the general trend with a decline of 3%.
Public policies and uncertainties
Marie-Laure Nivot, head of market analysis at AAA Data, observes that “ the addition of a working day in December allowed a modest rebound, but the drop in orders suggests a continuation of the decline in 2025, excluding the effects linked to tax measures such as the bonus-malus “. Purchasing aid will be reduced next year with a 2025 ecological bonus halved, and the terms of social leasing, expected for mid-2025, promise to be restrictive.
Despite these obstacles, electrification is progressing thanks to the popularity of hybrids and the arrival of more accessible electric models, such as the Citroën ë-C3, the Dacia Spring or the new Renault 5.
Tensions on electric and rise of hybrid
While registrations of electric vehicles decline by 3% in 2024, their market share stagnates at 17%. This decline is particularly visible at the end of the year (-21% in December), notably at Tesla where sales collapsed. On the other hand, hybrids are experiencing a real boom: they represent 43% of the annual market (+24%) and crossed the 50% mark in December.
At the same time, thermal engines continue to decline, representing only 40% of sales in 2024. Diesel, once dominant, is falling to 7% market share.
SUVs still in the lead
Despite criticism of their environmental impact, SUVs continue to appeal, representing more than 50% of sales in December (+14%). Sedans, in decline, reach 40% of registrations, while other body types remain marginal.
Opportunities: sustained momentum
Faced with the decline in new goods, the second-hand market grew by 3% over the year, totaling 5.35 million transactions. Models complying with low emission zone restrictions (Crit'Air 1 and 2) dominate sales. Used electric vehicles, although modest, show spectacular growth (+54%).
Rising costs
The prices of new vehicles vary greatly depending on their engine. Electric vehicles remain the most expensive in 2024, with an average price of 42,930 euros (+3.7%). Hybrids, slightly less expensive, stagnate around 41,000 euros, while gasoline models drop to 26,774 euros (-4.3%). Diesel, on the other hand, saw its prices increase by 5.1%, reflecting its scarcity.
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