Used Electric Vehicle: Car Recovery Plan?

To save the auto industry, the government's expected plan

Le Automotive industry is one of the hardest hit by the COVID-19 health crisis. In fact, measures to contain the population and the closure of retail outlets caused a drop in sales and, as a result, a slowdown in activity. To respond to the crisis, Emmanuel Macron moved to the premises of the equipment manufacturer Valeo in Etaples, in the Pas-de-Calais, on 26 May. The head of state outlined the main directions of the recovery plan developed by the Government, designed to reduce the impact of the crisis on an already weakened sector. This plan, among other things, promotes the used electric vehicle, which should become the new model for access to mobility in the coming years. 

On the same day, an exceptional meeting was held at the Elysee Palace, at which Bruno Le Maire, Minister of Economics, set the tone: “We must turn this crisis into leverage to accelerate ecological transition and encourage the French to buy cars that are still too expensive for them.». 

Faced with the crisis, new incentives have emerged for the purchase of electric and hybrid vehicles.

In total, the government announced an injection of 8 billion euros into the sector. These measures focus on increasing financial incentives for the purchase of so-called "cleaner" vehicles. Let's begin with that environmental bonus when buying an electric or plug-in hybrid vehicle less than 45 euros, increasing from 000 to 7 000 €... The promotion also benefits professionals and local authorities, which now have a bonus of 5 000 €compared to 3 euros earlier. 

In addition, the recovery plan includes additional bonus for conversion in case of replacing the old thermal imager with electric car, used including. This exclusive bonus, valid from June 1st, is € 3. 5 000 € if it is applied to electric car... The system covers the first 200 purchases since its implementation. The amount of this convertible bonus is a function of “tax reference income” divided by the “tax household shares” in question. Thus, to benefit from this, it is now necessary to have a base tax income per unit of less than € 000 net, which is higher than the previously applied € 18.

So the revival seems to be giving way to second-hand, and rightly so. In 2019 the French bought 2,6 used cars for every new car sold... Also in January and February 2020 used goods market grew by 10,5% compared to January 2019, while the new housing market lost 7,9 over the same two periods. Moreover, since Car magazine, used car sales continue despite exceptional circumstances related to the health crisis, growing 5% after the first week of recovery after the May 11 deconfinement. 

For years to come, a new balance of mobility that prioritizes used electric vehicles.

On the announcement of a plan for the recovery of the automotive sector: certain trends are emerging. The first concerns movement production activities. Indeed, if the government allocates € 8 billion, it is in exchange for resettlement efforts on the part of the beneficiaries. For example, the PSA team must commit to increase production of electric vehicles or plug-in hybrid vehicles in France. in the coming years. In addition, the Renault group is expected to triple production by electromobiles by 2022, and quadrupling even by 2024 – enough to mark a new turning point in development of electromobility. 

Thus, the Government sets itself the goal ofelectrify the French car fleet even more... To do this, it is about making everyday use easier and starts with the question of recharging, which may cause some concerns for users. That's why 100 charging stations additional ones will be deployed on the road network during the year, while the event was planned for two years. 

This set of measures seems to underscore the turning point made by the automotive sector, which once again and more strongly recalls its central role in zero carbon transition... In particular, the priority is reduced to identifying forms of mobility that have little effect on air quality, whose mediocrity is also cited as favorable for lung infections.

If Emmanuel Macron intends to force France "first manufacturerelectromobiles Europe.“as a goal” 1 million per year over 5 years of electric, hybrid and plug-in hybrid vehicles, then you will also need to rely ontime... While the price of new electric vehicles remains high, this opportunity helps lower the purchase price while extending the life of the vehicle. It should also be noted that the market for used electric vehicles is becoming more transparent, in particular thanks to certificates relating to the condition of the vehicle. For example, certificate Beautiful battery provides clear, reliable and independent information about Health status (SOH) a used battery for an electric vehicle is enough to reassure potential buyers.