French Industry Minister Marc Ferracci has proposed a European Union subsidy program for electric vehicles (EVs), modeled after France’s current system. This French model allocates subsidies based on CO2 emissions generated during vehicle and battery production, effectively excluding EVs manufactured in China. Ferracci argues that support should focus solely on cars produced within Europe, aiming to strengthen the competitive standing of European automakers in the EV market.
The Role of Commercial Fleets in Electrification
Ferracci emphasizes the importance of transitioning commercial fleets to electric vehicles as a key component of this proposed program. According to Ferracci, support should not be limited to individual purchase incentives but should also include public tenders and corporate fleet acquisitions. This approach aims to drive consistent demand for EVs across EU member states, a significant step amid the recent decline in EV sales within the EU.
Addressing Competition from Chinese Automakers
The French minister acknowledged that Chinese EVs are often not only cheaper but also highly innovative, posing a considerable challenge for European manufacturers. To meet this challenge, Ferracci believes that Europe must make substantial investments in the EV sector to maintain competitiveness and safeguard the region’s automotive industry.
Proposal for Higher Tariffs on Chinese EV Imports
France has also advocated for increased tariffs on electric vehicles imported from China. Ferracci points out that China systematically subsidizes its EV manufacturing supply chain, putting European automakers at a competitive disadvantage. This stance aligns with the European Commission's current investigation into the impact of Chinese subsidies on the EU market.
Pushback Against Emission Penalties for Automakers
France is also urging the EU to ease sanctions on automakers who fail to meet CO2 emission targets set to take effect in January 2025. Ferracci argues that these penalties, imposed amidst weakened demand for EVs, could destabilize the European automotive industry. Nonetheless, he supports the planned ban on new internal combustion vehicles in the EU by 2035, stating that any rollback on this deadline would undermine the strategies of European car manufacturers.
Supporting Demand: A Critical Objective
Minister Ferracci highlighted the need to bolster EV demand through fleet orders and public contracts. By focusing on such measures, Europe can sustain demand for EVs while reducing dependence on individual consumer subsidies, which may not be as effective long-term.
Through these steps, France aims to reinforce the position of European automakers and support the transition to sustainable mobility that aligns with the EU’s climate goals. Details of the proposed program will be discussed further with EU member states, as France continues to advocate for measures to protect the European market against unfair trade practices from third countries.
Zdroj: evmagazin.cz,handelsblatt.com, lesechos.fr
