French car market grows despite high fuel prices

The French automotive market saw a 7% increase in October 2026, despite record fuel prices and a stricter ecological penalty. This growth was driven by a shift in buyer preferences toward electric and hybrid vehicles.

October 2026 car sales data

According to AAA DATA, 149,340 new passenger cars were registered in October 2026, a 7% rise compared to October 2025. The month had only 22 working days, compared to 23 in the previous year. Over ten months, the market has grown by 4%.

Private buyers dominate the market

Private buyers accounted for 57% of new car sales in October, with 84,757 registrations, an 18% increase from the previous year. Renault led this segment with 16,494 units, while Dacia saw a 29% decline in sales. Long-term renters and short-term renters also saw changes in their market shares.

Captive leasing is a major trend

From January to September 2026, private buyers purchased new cars using various methods. Captive leasing, offered by manufacturer subsidiaries, accounted for 53.7% of purchases, while direct purchase and classic credit made up 39.5%. This shows the growing influence of manufacturer financial services in the market.

Electric vehicles gain market share

In October 2026, new electric cars accounted for 41% of the market, up from 24% in October 2025. Since January, 449,294 new electric cars have been registered, representing a 79% increase compared to the previous year. This growth is supported by government incentives such as the CEE boost.

Hybrid vehicles remain dominant

Hybrid vehicles were the leading energy source in October, with 65,925 registrations and 44% market share. Rechargeable hybrids accounted for 7% of the market, while full hybrids and micro-hybrids saw slight declines. Electric range extenders remained marginal, with only 1,572 units registered.

Thermal powertrains continue to decline

Gasoline car sales dropped by 44% to 14,909 units, with a 10% market share. Diesel car sales declined even more sharply, by 65%, to 2,034 units, or 1% of the market. This decline coincides with stricter CO2 penalties and increased vehicle weight penalties.

Used car market trends

The used car market saw a 7.2% decline in October, with 448,986 transactions recorded. However, used electric cars experienced a 42.8% increase, reaching 27,961 units. This growth is supported by a CEE premium introduced in September 2026 for used electric vehicles.

BtoB market faces challenges

The BtoB market, including companies and administrations, declined by 4.7% in October, to 39,540 units. Hybrid vehicles saw a significant drop in demand, while battery-powered electric vehicles increased by 53.9%, reaching 18,265 units.

Light commercial vehicles struggle

The light commercial vehicles (LUV) market saw a 13.5% decline in October, with 27,518 vehicles registered. Electric vehicles grew by 44%, but still only accounted for 17.8% of the market. Since January, the LUV market has declined by 6.4%.