Emmanuel Macron is set to attend the Paris Motor Show on Monday for his final visit as president. The biennial gathering, which Macron has consistently attended, will provide an opportunity to reflect on his administration’s impact on the automotive sector.
The French presidency emphasizes the importance of the car industry, noting it supports 400,000 direct jobs across the country. Notably, Macron’s government has focused on boosting electric vehicle production and establishing a national battery industry.
Before 2017, France’s electric vehicle production was limited, primarily revolving around the Renault Zoe. A presidential source highlighted that the country lacked any battery factories at the beginning of Macron’s term. Since then, production has increased, but it still falls short of meeting domestic demand. According to Insee, by 2025, there will be 331,000 new electric passenger cars registered in France, compared to only 216,000 produced domestically.
Despite this growth, about 60% of the electric cars manufactured in France are exported, particularly to the United Kingdom and other European markets. Consequently, only 26% of new electric vehicles sold in France are made domestically, leading to a significant reliance on imports to satisfy local demand. France is also far from achieving its government target of producing two million electric vehicles annually by 2030, though officials point to progress in the electrification of the vehicle fleet and the establishment of four battery plants in northern France.
Prior to the show, Macron will host a dinner at the Élysée, bringing together around 60 representatives from the automotive sector, including car manufacturers, suppliers, and battery producers. Notably, no leaders from automotive brands or Chinese exhibitors will attend the dinner, although several Chinese manufacturers will be present at the show itself.
During the event, Macron plans to visit booths from Stellantis, Renault, and equipment supplier Valeo, concluding his visit with a roundtable discussion on autonomous vehicles.
A strict European preference
Amidst rising competition, Macron has called for the European Union to support local production, especially against China’s significant export capacity of 55 million vehicles compared to Europe’s 12 million. France advocates for European public subsidies that favor vehicles produced within EU member states to create a “genuine” European preference encompassing the entire automotive value chain, from battery production to spare parts.
While France remains receptive to quality Chinese investment in Europe, it seeks to prevent scenarios where only superficial assembly occurs in Europe, with most components manufactured elsewhere. The French presidency acknowledges the challenges in aligning this position with Germany, which exports more vehicles than France and has different interests.
Reports from German business daily Handelsblatt indicated potential discussions between France and Germany regarding environmental targets for new cars. France may agree to relax the European target for cutting CO2 emissions from new cars by 2035, while Germany would potentially support stricter “Made in Europe” rules. However, the Élysée has denied any agreements, stating that talks regarding European preference are ongoing.
The Paris Motor Show will open its doors to the public from October 13 to 18 at the Porte de Versailles exhibition center, following the press day featuring Macron’s visit.
