France social leasing program falls short of 50,000 vehicle target

The French government's social leasing program for electric vehicles is experiencing a significant slowdown. After a rapid start in 2024 where 50,000 vehicles were leased in six weeks, the current wave has recorded only 39,000 orders against a target of 50,000 after 16 weeks.

This deceleration is attributed to a reduction in state aid, which dropped from 13,000 euros to 6,500 euros per vehicle, leading to higher monthly payments for consumers. Additionally, manufacturers have shown less incentive to participate in the subsidized program due to high demand in the broader electric vehicle market.

Despite the slower pace, approximately 11,000 spots remain available. For eligible low-income households, the program still offers monthly rentals under 200 euros, such as the Citroën e-C3, which can be accessed for approximately 150 euros per month.