France Sees Record Electric Vehicle Sales in January Despite Overall Market Decline

In January 2026, France witnessed a remarkable surge in electric vehicle (EV) sales, setting a new record in the face of a broader decline in the overall car market. New passenger car registrations dropped by 6.55% compared to January 2025, with only 107,157 new cars registered — the lowest level for the month in fifteen years excluding the 2022 semiconductor crisis, according to the Plateforme automobile (PFA). This decline was driven by rising vehicle prices, inflation-induced consumer caution, and political uncertainties.

Despite this downturn, electric cars captured a 28% share of all new registrations, the highest in two years. This increase is largely attributed to social leasing schemes and purchase incentives that have spurred interest in zero-emission vehicles. The Renault 5 emerged as the bestselling electric vehicle, reflecting French consumers’ preference for small cars, alongside the Peugeot 208, which remained popular across all motorization types.

Automotive analyst Marie-Laure Nivot of AAA Data noted that the spike in EV sales may mask underlying market trends, as subsidies and corporate fleet electrification heavily influence these figures. Emanuele Cappellano, head of Stellantis Europe, emphasized that without subsidies or significant price cuts, there is limited organic demand for EVs. Reflecting the general market mood, Stellantis reported a 2.7% sales drop compared to last year, with Citroën slightly up by 2.8%, Peugeot down 8.2%, and Renault benefiting from a 1.1% increase, driven by a 20.7% rise in Renault brand sales despite a steep 33.9% fall for Dacia. Toyota experienced a 15.5% decline.

Additionally, December's European Union decision to relax plans mandating a full transition to electric vehicles by 2035, allowing some combustion and hybrid models if emissions are offset, may influence future market dynamics.

In summary, while France’s overall car market remains depressed, the electric vehicle segment achieved historic growth in January 2026, propelled by targeted subsidies and leasing programs. This success highlights both the evolving consumer preferences towards environmentally friendly cars and the critical role government incentives play in the transition to electrification.