Market. The price of new cars has increased by 21% in 3 years!

A study by AAA Data is formal: “March 2022 turned out to be the worst in recent automotive history.” The general market trend is alarming and this has been true for almost a year now. In turn, the prices of new cars are subject to an unprecedented inflationary logic.

In

Benjamin Lauriol

published in
updated

The French car market is at its worst since the beginning of the year. The company AAA Data elaborated the trends.

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New vehicle registrations are down. And still, the price of cars continues to rise while delivery times are inexorably increasing. Adding to the shortage of semiconductors is the Russian-Ukrainian conflict, which is putting the entire auto industry under pressure and sending raw material prices soaring. All this in a context of ecological transition to electricity, which requires colossal investments.

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New car sales are down nearly 20% in March 2022 compared to March 2021.

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A logic to detect?

the argus talks to you about this very regularly: manufacturers are constantly raising the list prices of their models. In addition, at the beginning of 2022 we dedicated a study to the extent of the increase in the year 2021. Whether generalist or premium, everyone is in the same boat. This conclusion is reflected in the facts, since between 2019 and 2022, the average price of new cars jumped 21%. This is a catalog price excluding discounts and options “, according to AAA-Data.

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vn price table

The AAA Data study also details the rise in price of NVs according to their engine.

AAA data

Depending on the engines, this price increase is not noticeable in the same way. Already high, the average price of electric vehicles remains stable as manufacturers are forced to sell enough to meet their annual CO2 reduction target.two.

For example, petrol (+17%) and diesel (+7%) models are affected as their sales are falling further and further. On the other hand, LPG car registrations have multiplied by 11 in 3 years and that goes for purchases: their average price has increased by 22%. Electric cars, on the other hand, remain stable, much to the chagrin of individuals who nevertheless can count on the ecological bonus.

The most affected NV market

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tesla model 3 red front

The Tesla Model 3 is still the best-selling 100% electric model in France since the beginning of the year.

Étienne Roville

With just 147,078 new cars registered, the auto market has dropped dramatically to -20% “, explains the company, speaking of March 2022 in relation to 2021. The study in question also highlights interesting trends to be analyzed. In the sales ranking by model, the first electric car is none other than the Tesla Model 3 in 12and position (6,636 entries). Well, you can imagine the price of this one has gone up by almost €6,000 in just a few months…

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sales chart vn france

This graph clearly expresses the difference between the NV market before 2019 and after 2019.

AAA data

Another highlight: it is the entrance finishes that suffer the most from these crises. Whether at Dacia or BMW, there is a need to monetize cheaper products. And if the price increase affects all products and not just the cheaper versions, then it is equipment that is withdrawn in the form of negative options, to leave the choice in the high versions. You understand why some second-hand copies sell for as much as new. On the other side, the deliveries continued to be dynamic with +33% », for luxury coupes. This shows that the rich clientele is always there, even if the prices or the ecological penalty always go up a little more each year.

The used market, a priority for individuals

The used market is also down compared to 2021. The drop is estimated at 14%, but it is nowhere near as worrying as in the new sector. Indeed, with 505,955 cars sold as of March 2022, “ used car market is back to 2019 levelbefore the pandemic “. This demonstrates that the car is still an inseparable part of the lives of most French people. But the supply and demand mechanisms are not wrong, as delivery times for new vehicles are getting longer and longer. then explodes, which directly affects used vehicle prices and inventories.

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Unsurprisingly, all used thermal models sell less in 2022 than they do in 2021.

AAA data

AAA Data also publishes some analysis on this market. ” Thus, the exchanges of electric, hybrid and biofuel cars increased sharply: + 110% for electric cars, + 46% for super ethanol cars and + 31% for hybrid cars “. On the other hand, very recent second-hand thermal vehicles (rented out of leasing, vintage cars for the press, etc.) are also in high demand, as they allow you to escape from ecological evil. increased by more than 13% in three years.

Source: AAA data

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