France announced a plan to save the auto industry for 8 billion euros

France announced a plan to save the auto industry for 8 billion euros

May 27, 2020 0 By autotimesnews

French President Emmanuel Macron May 26 presented a plan to support the French auto industry, in which the government is ready to invest 8 billion euros.

According to Macron, after two months of quarantine, French car dealers have accumulated half a million unsold new and used cars. The state intends not only to stimulate sales, but also to ensure and support the strategic development of the industry, innovation and the production of environmentally friendly cars, the French president stressed.

“The state as a whole will provide assistance to the industry in the amount of 8 billion euros. In exchange for this, the automakers made a number of serious commitments to return high-value-added production to France and to preserve production in French factories in full,” Macron said.

In particular, the manufacturer of Peugeot and Citro├źn brands has committed to ensure the annual production of 450 thousand cars at its French plants. In 2021, the PSA will release in France about 130 thousand hybrid cars and electric vehicles. Last year, the concern did not assemble such machines in France, Macron said.

Macron also announced a large-scale task – by 2025 to ensure the release in France of one million environmentally friendly cars. The goal is “to make France the first country to produce clean cars in Europe.”

Macron promised the accelerated development of infrastructure for charging cars with an electric motor. 100 thousand new charging stations will appear in France next year, and not in 2022, as previously planned.

Macron announced an increase in government subsidies for the purchase of electric vehicles: for individuals – from 6 to 7000 euros, for enterprises – from 3 to 5000.

A new subsidy is introduced – 2,000 euros – for the purchase of a hybrid car with the possibility of recharging from the network.

It has also announced the expansion and strengthening of the recycling program for old cars. Starting June 1, the subsidies paid by the state when replacing an obsolete car with a new one will be doubled.