France to unveil aid package for auto industry by June end

The French government will give out aid packages to sectors that have been hit hard by Covid-19 crisis, such as the auto industry and aeronautics.The
...
File photo: The French government has moved to revive the economy after loosening lockdown restrictions. (REUTERS)
File photo: The French government has moved to revive the economy after loosening lockdown restrictions.

French Finance Minister Bruno Le Maire pledged government-support measures for the car and aeronautics industries by the end of June.

The aid would come after the government promised 18 billion euros ($19.4 billion) on Thursday to back the tourism sector, which Le Maire said was desperately needed because restaurants and hotels were among the hardest-hit businesses by the coronavirus pandemic.

Also check these Vehicles

Find more Cars
Mahindra Ekuv100 (HT Auto photo)
UPCOMING
BatteryCapacity Icon40 kWh Range Icon150 Km
₹ 8.25 - 10 Lakhs
Alert Me When Launched
Mahindra S204 (HT Auto photo)
UPCOMING
₹ 12 Lakhs
Alert Me When Launched
Lexus Ux 300e (HT Auto photo)
UPCOMING
BatteryCapacity Icon 54.3kWh Range Icon400 km
₹ 75 - 85 Lakhs
Alert Me When Launched
Hyundai Kona Electric 2024 (HT Auto photo)
UPCOMING
BatteryCapacity Icon64.8 kWh Range Icon418 Km
₹ 25 Lakhs
Alert Me When Launched
Maruti Suzuki Xl5 (HT Auto photo)
UPCOMING
Engine Icon998 cc FuelType IconPetrol
₹ 5 Lakhs
Alert Me When Launched
Tata Sierra Ev (HT Auto photo)
UPCOMING
BatteryCapacity Icon69 kWh Range Icon420 Km
₹ 25 - 30 Lakhs
Alert Me When Launched

“We will do it for other sectors that have been hit hard, such as the auto industry and aeronautics," he said in an interview on BFM TV. “Air France was at risk of disappearing, and parts of the car industry are also threatened with disappearing."

Also Read : French car market plummets 88.8% in April as lockdown hits sales

The French government has moved to revive the economy after loosening lockdown restrictions including allowing more stores and some schools to reopen. While Air France-KLM and carmaker Renault SA have obtained billions in state-backed loan guarantees, their operations remain depressed. Plane maker Airbus SE, which has shunned direct state support, is planning to cut jobs.

“The rebound is gradual; it’s there, but it’s gradual," Le Maire said, adding that consumers should be encouraged to go out and spend money including by taking vacations in France this summer.

Also Read : Renault seeks state-backed loan to build cash buffer amid coronavirus crisis

He didn’t provide details about what kind of support would be given to the car and aeronautics sectors, but has said in the past electric-car sales could be encouraged. The French government holds stakes in Air France-KLM, Airbus, Renault and Peugeot maker PSA Group.

First Published Date: 15 May 2020, 13:13 PM IST
NEXT ARTICLE BEGINS

Check Latest Offers

Please provide your details to get Personalized Offers

Choose city
+91 | Choose city
Choose city
Select a dealer

Want to get the best price for your existing car?

Powered by: Spinny Logo
By clicking "View Offers" you Agree to our Terms and Privacy Policy
Dear Name

Please verify your mobile number.

+91 | Choose city
Couldn't verify the OTP.
It's either expired or it's incorrect.