The Rise of Electric Vehicles in France

Insights, Opportunities, & Need-to-Knows For Cross-Border UK Companies

In recent years, the world has seen a remarkable shift towards electric vehicles (EVs). However, the popularity of this new technology varies from country to country. 

Some countries are seeing widespread adoption of this new technology. For example, in Norway, 91% of total new car sales in 2023 were EVs. Other countries are more hesitant. In Poland, EVs made up less than 5% of new car sales in 2023.

But where does France fit in this picture?

In this article, we’ll examine the automotive industry in France and how the country’s adoption of electric cars. We’ll also explore important market opportunities and insights that UK traders need to know.

Contact clearBorder for tailored support on cross-border trade with France.

History of the Automotive Industry in France

France has been home to many iconic car brands such as Peugeot, Citroën, and Renault, which have played a significant role in shaping the global automotive landscape.

Today, the French automotive industry is a major contributor to the country’s economy, accounting for nearly 10% of France’s total industrial revenue, employing nearly 216,000 people, and generating approximately 85 billion euros in net sales.

The French automotive industry is diverse, encompassing various sectors such as the production of passenger cars, commercial vehicles, and automotive parts:

• With an annual production of over 1.4 million vehicles in 2022, France is the third-largest producer of passenger cars in Europe (behind only Germany and Spain).
• The country is also a significant player in the commercial vehicle sector, with French manufacturers producing a wide range of vans, trucks, and buses for domestic and international markets.
• France is home to numerous tier-1 and tier-2 suppliers, providing components and systems to car manufacturers in France and other countries. The expertise of French suppliers spans various domains, including powertrain, chassis, and electronic systems.

Traditionally, the French automotive industry has been dominated by internal combustion engine vehicles, with petrol and diesel cars accounting for the vast majority of new car registrations.

But, in recent years, the French automotive industry has been undergoing a significant transformation, driven by the global shift towards cleaner and more sustainable transportation solutions.

The Shift to Electric Vehicles in France

The shift to electric cars in France has been driven by new government regulations and initiatives, and the strategic shift made by automotive companies.

French consumers are also becoming more environmentally conscious and seeking sustainable transportation options. This change in preferences has led to a growing demand for electric vehicles (EVs), which are seen as a cleaner alternative to traditional petrol and diesel vehicles.

In response, the French government has implemented various regulations and initiatives to promote the adoption of hybrid cars and fully electric vehicles. One such initiative is the Crit’Air sticker system, which classifies vehicles based on their emissions levels. The system restricts access to certain areas during pollution spikes, with the most polluting vehicles facing the strictest limitations. This has encouraged consumers to switch to EVs, which are exempt from restrictions.

The French government has also introduced incentives for EV adoption, such as purchase subsidies and tax breaks. France’s electric vehicle incentives have made EVs more affordable and attractive to consumers, further driving the shift towards electric mobility.

Current State of the French EV Market

PSA Group (now part of Stellantis) and Renault have both announced plans to expand their EV offerings and have set ambitious targets for EV sales in the coming years. These companies are also collaborating with other stakeholders, such as charging infrastructure providers, to create a more supportive ecosystem for EVs in France.

The electric vehicle market in France has been growing rapidly in recent years. In 2024, the overall market share for EVs in France reached 26.2%. When comparing EV market share with other European countries, France falls only behind Norway (95%), Sweden (60%), and the Netherlands (30%).

The growth in EV sales has also been driven by the increased availability of EV models. Popular EV models in France include the new Renault 5, which was the best-selling BEV in November of 2024, as well as the Peugeot e-208 and the Tesla Model Y. Other notable models include the Nissan Leaf, the Hyundai Kona Electric, and the Volkswagen ID.3.

With the French government’s ambitious targets for EV adoption and the continued investment from automotive companies, the EV market in France is expected to continue its rapid growth in the coming years.

Charging Infrastructure

The availability and quality of charging infrastructure are crucial factors in the adoption of battery electric vehicles (EVs).

In France, the government has been actively supporting the development of EV charging infrastructure to encourage the transition to cleaner transportation. In 2024, the number of public AC charging points in France grew to 123,346 (a 22% increase compared to 2023). At the same time, the number of fast-charging points reached 27,986 (51% growth from 2023).

As a result, France now has one of the largest charging networks in Europe.

However, the charging infrastructure in France still needs improvement. While there are many charging points in France, there’s a higher concentration in urban areas and along major highways, with more limited charging points in rural areas.

Opportunities for UK Businesses in the French EV Market

Components for Electric Vehicles

The growing electric vehicle (EV) market in France presents numerous opportunities for UK companies looking to export to France. One key area is the supply of EV components and technologies, such as batteries, electric motors, power electronics, and lightweight materials. UK companies with expertise in these fields can partner with French automotive manufacturers to develop and produce advanced EV components, helping to drive innovation in the industry.

EV Models

Another opportunity lies in the export of electric and plug-in hybrid vehicles to France. As French consumers increasingly demand cleaner transportation options, UK automakers that offer a range of competitive EV models may find success in the French market.

This includes not only passenger cars but also commercial vehicles, such as vans and trucks, which are subject to stricter emissions regulations in France.

Charging Points

The expansion of France’s EV charging infrastructure also presents opportunities for UK companies exporting to France. Despite the government’s efforts, challenges remain in ensuring the reliability and availability of charging service stations, particularly during peak times and in high-demand locations. This limits the driving range of EVs, which makes improving the charging infrastructure a necessity.

UK companies that can offer innovative solutions such as smart charging technologies, energy storage systems, and efficient payment and reservation platforms, may find significant opportunities in the French market.

The Importance of Collaborating with French Partners

Collaborations play a crucial role in driving innovation and growth in the French EV industry. By pooling resources, expertise, and knowledge, companies are accelerating the development of advanced EV technologies and solutions.

For example, one notable collaboration between French and UK companies is the partnership between Renault and British battery manufacturer Britishvolt, which aims to develop high-performance, sustainable batteries for EVs. Such collaborations facilitate knowledge sharing, technology transfer, and improved market access.

As the French EV market continues to expand, there are significant opportunities for further collaboration and joint ventures, particularly in areas such as charging infrastructure, battery technology, and software development.

By working together, French and UK companies can strengthen their competitive positions and contribute to the sustainable growth of the EV industry in France.

Ensure Smooth Market Entry clearBorder

While there are plenty of opportunities in the French EV market for UK companies, entering the market can be a challenge. UK companies must ensure their products are fit for French consumers and meet stringent EU regulations. They must also navigate customs procedures, import and export controls, and shipping, to ensure an efficient supply chain.

Through training and consultation, clearBorder ensures UK businesses understand the trade process from start to finish, including export controls, French customs procedures, and freight forwarding options. clearBorder can also help UK companies identify the most effective routes to market, whether through partnerships, joint ventures, or direct sales.

By leveraging clearBorder’s expertise and support, UK exporters can minimise risk, optimise their supply chains, and establish a strong presence in the growing French EV market.

Contact clearBorder today to successfully enter the French EV market.