Auto Market France: What Were the Trends in 2022?

Prices soaring, sales declining, electric and hybrid boom, our analysis of the automotive market trends in France in 2022.

Despite a normal year without lockdowns after two years of Covid-19, the car market still suffered. It declined by 7.8% compared to 2021, according to AAA Data. This represents 1.53 million cars, 130,000 fewer in one year and especially -700,000 compared to 2019. The reason is an still fragile supply chain, which was not helped by the war in Ukraine orchestrated by Russia. This conflict has also resulted in unprecedented inflation for 40 years.

Prices take off, worsening the used car market

Prices of certain cars have surged by several thousand euros. For example, the cheapest electric car, the Dacia Spring. Launched below €17,000 in 2021, it now lists at €20,800. And the Tesla Model 3 saw its base price rise from €43,900 to €53,490, losing all bonus in 2023! Overall, AAA Data specifies that the average price of a car in France has increased by €12,000. More cautious, the French buy less and rent more. Whereas buying or financing accounted for 92% of sales in 2012, leasing options (LOA and LLD) dominate the market in 2022 with 51%.

Another indirect result, the price of used cars has also increased significantly. Less accessible, the used car market has dropped more than new cars, by -13.5%.

Tesla beats Nissan, MG surpasses Fiat, electric is convincing

December highlights the enthusiasm for electric cars. Once again, their registrations surpassed those of diesel, a previously dominant powertrain that is now the automotive industry’s black sheep. In this context, with support from hybrids of all types, electrified vehicles now make up half of the auto market.

By brand, with 5,416 units, Tesla surpasses Audi, but only for December. However, its 2022 total (29,199 units) is higher than Nissan’s historic record. Another major fact in the auto market, the MG brand, absent from the market in 2019 and heavily electric, surpassed Fiat in December. The Chinese manufacturer also exceeded 12,600 registrations in 2022, close to Seat and Suzuki.

Finally, Toyota takes the 5th place in the market in 2022 thanks to hybrids. The Japanese brand is disrupting Volkswagen, which has few hybrids and whose electric models ID.3 and ID.4 are not dominant in France.

The Top 20 new car sales in 2022 by brand in France:

Also read: In Norway, 80% of car sales are electric