€8B to rescue French car sector

PARIS — French President Emmanuel Macron unveiled Tuesday an €8 billion ($8.8 billion) plan to save the country’s car industry from huge losses wrought by virus lockdowns, including a big boost for electric vehicles.

The plan includes government subsidies for car buyers and longer-term investment in innovative technology, especially in battery-powered cars.

“Our country wouldn’t be the same without its great brands — Renault, Peugeot, Citroen,” Macron declared, and announcing a goal of making France the leading producer of “clean” cars in Europe. The €8 billion does not include a €5 billion government loan guarantee under discussion for struggling Renault, or the millions the government has already spent on temporary unemployment payments to auto workers told to stay home for weeks to keep the virus at bay.

Finance Minister Bruno Le Maire has said that carmakers must commit to bringing back manufacturing to France in exchange for the support, but unions are wary as the industry is in turmoil. —