Used electric vehicle prices in France have dropped by 19.4% year-over-year, with significant declines attributed to rapid tech advancements and consumer preferences. The average price for electric cars is now €21,990, while interest in hybrids is rising amidst these declines.
A recent report from La Centrale reveals a significant drop in the prices of used electric vehicles in France. In the third quarter of 2024, the average price for electric cars has fallen to €21,990, which is a decrease of €1,000 (-4.3%) compared to June 2024. Over the past year, prices have plummeted by 19.4%, amounting to a drop of €5,309, marking the most substantial decline among all vehicle types. The primary reasons for this sharp decline are attributed to rapid technological advancements making older models obsolete, making used electric cars less attractive. Dealers report that electric vehicles are selling slower than traditional cars, and some used electric models, such as a client’s Tesla Model 3, have seen losses of nearly €13,000 within eight months after purchase. The phenomenon of falling “residual value” is evident, compounded by frequent price changes from leading manufacturers like Tesla, which complicates price stability perceptions among consumers. Similarly, models like the Kia Niro have faced price reductions, as the market adjusts to newer, cheaper alternatives. Additionally, limited driving range remains a key issue; buyers often seek electric vehicles that advertise at least 400-450 km of range, steering them away from less capable options. Interestingly, diesel cars are experiencing a resurgence in popularity among both consumers and professionals, bucking the trend seen in electric vehicles. Hybrids, on the other hand, are also seeing price reductions. In the past year, hybrid vehicles have dropped in price by 10.3%, though interest from buyers is rising significantly, with a 55% increase in inquiries about used hybrids. This trend reflects a perception of hybrids as a safer alternative to electric vehicles, combining cleaner technology with a better resale value. As of now, hybrids account for 32.6% of new vehicle sales, a substantial increase from previous years.
The article analyzes the recent trends in the used electric vehicles market in France, highlighting a sharp decline in prices and demand, driven by rapid technological advancements and changing consumer preferences. It illustrates how electric vehicles are struggling to maintain value compared to hybrids and traditional cars, led by a few key factors such as limited driving range and competitive pricing shifts initiated by manufacturers like Tesla. The article presents insights from industry experts to discuss current market dynamics and projections for electric and hybrid vehicle sales.
The article underscores the steep depreciation of used electric vehicles in France, which has fallen by nearly 20% over the past year due to technological improvements and market dynamics. It also points to a growing interest in hybrids as they gain popularity, attributed to perceived value and better resale prospects. As technology continues to advance, the used electric vehicle market will likely face ongoing challenges while hybrid vehicles are increasingly favored by consumers.
Original Source: www.europe1.fr
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