When looking for a new or used car right now, the landscape has little in common with what it was two years ago. The automotive sector is undergoing a rapid reorganization phase, with the rise of electric powertrains, the offensive of Chinese manufacturers in Europe, and financial tensions at giants like Volkswagen and Stellantis. Here are the concrete trends reshaping the market in 2026.
Depreciation of used electric cars: a real buying window
On the ground, the notable fact this fall concerns the used electric car market. Some models lose more than half of their value in five years. For a buyer, this is a direct opportunity: recent vehicles, with still functional batteries, are being sold at prices significantly lower than their original catalog price.
This massive depreciation can be explained by several combined factors. Rapid technological advancements make older generations less attractive on paper, even when their range remains sufficient for daily use. Sales of used electric cars have surged by more than 50% in France recently, a sign that buyers are starting to seize these opportunities.
You can find the latest news on the City Automobiles website to keep track of available models and the price changes accompanying this movement.
The point of caution remains the health of the battery. Some European countries are beginning to require the display of the “State of Health” during transactions, which is gradually structuring the market and reassuring buyers. Without this data, estimating the real value of a used electric vehicle remains uncertain.
Market share of electric vehicles in Europe: pure combustion becomes a minority
According to the International Council on Clean Transportation, electric batteries account for about 22% of European registrations from January to July 2026, an increase of five points compared to the same period in 2025. Traditional combustion vehicles are falling to less than 30% of new registrations.
This shift is not trivial. Mild and full hybrids continue to progress, meaning that pure combustion is no longer the norm in dealerships. For corporate fleets as well as for individuals, the choice of powertrain is now systematically posed.
What this changes for buying an SUV or a city car
In the SUV segment, the diversity of electric and hybrid offerings has exploded. Renault, Stellantis, and Volkswagen each offer several models in this category. The additional cost at purchase compared to combustion vehicles is decreasing, particularly thanks to government incentives that persist in France.
For city cars, feedback varies on this point: some electric models have sufficient range in the city but remain limited on the highway. It is recommended to test on your actual route before signing.
Chinese manufacturers in Europe: a rarely quantified competitive pressure
Mainstream content often talks about the “Chinese threat” without providing a scale. Sector analyses estimate that Chinese manufacturers reach nearly 16% market share in passenger cars in Europe by early 2026, compared to about 3% four years earlier.
This rapid progression is based on aggressive pricing, vertical integration of the battery supply chain, and electric vehicles designed from the outset for this type of powertrain. European brands are responding unevenly:
- Renault is accelerating its accessible electric models, with a production strategy in France that allows it to benefit from ecological bonus criteria
- Stellantis is restructuring its range and considering asset sales to shore up its cash flow, as shown by the plan to exit the shareholding of Aramis Group
- Volkswagen, facing the Chinese market and a faster-than-expected electric transition, anticipates an operating margin that would not exceed 1% in 2026
Volkswagen and Stellantis: the financial difficulties of major groups
The Volkswagen case illustrates the pressure that historical manufacturers are under. The German group has lowered its profitability forecasts, citing the deterioration of the Chinese market and nearly ten billion euros in exceptional items. A margin of 1%, for a group of this size, concretely means reduced investment capacity for upcoming models.
On Stellantis’ side, the preparation of a plan to exit the shareholding of Aramis Group reflects a need for liquidity. Two investment banks are said to have been mandated to find a buyer. This move confirms that profitability now takes precedence over diversification among major automotive groups.
Consequences for buyers in France
These financial tensions are not confined to balance sheets. They translate into range adjustments, fluctuating delivery times, and sometimes more generous discounts at dealerships. For those considering a new purchase, the current period offers greater negotiating power than usual on certain models in stock.
The French automotive market is evolving quickly, between the structural rise of electric vehicles, the redistribution of cards among European and Asian manufacturers, and industrial giants adjusting their strategies under financial constraints. Keeping a close eye on these movements allows for purchasing at the right time, whether aiming for a hybrid SUV, a used electric city car, or a combustion model at the end of its series.
