A virtuous or protectionist measure? Macron rethinks ecological bonus for electric cars

Baptiste Morin, edited by Laura Laplaud / Photo credit: XOSE BOUZAS / HANS LUCAS / HANS LUCAS VIA AFP 10:07 am, May 12, 2023

Accelerating and restoring the reindustrialization of France, Emmanuel Macron makes it the mother of all battles. The head of state unveiled the main lines of the bill for a greener industry on Thursday. Among the flagship measures, the ecological bonus for the purchase of an electric car will be reformed to "take into account the carbon footprint" of their production and thus promote vehicles manufactured in Europe. The measure is presented as ecologically virtuous but it is also a protectionist measure.

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Protecting the French sector

The new criteria will evaluate the carbon footprint of the construction of a vehicle, from the battery to the engine, assures Bercy. In fact, these new criteria will encourage people to buy a car made in Europe.

This new formula must respond to the current situation. Today, to benefit from an ecological bonus of 5,000 to 7,000 euros, you have to buy an electric vehicle for less than 47,000 euros. The basic version of the Tesla Model Y fell below 47,000 euros last January and is therefore eligible for the bonus while the vehicle is produced in China. This is Emmanuel Macron's target.

The new ecological bonus could become a real headache

But beware, this bonus could have perverse effects. For example, the Dacia Spring, a vehicle manufactured by Renault, would also lose its bonus because it is also made in China. The new criteria for this ecological bonus must be specified by the end of the year. It should be noted that the State devotes each year a billion euros to help renew the car fleet.