2024 started with a bang over the pond. Besides the issues brought forward by inflation, some businesses had to adapt to new rules. Farmers were especially outraged by the measures. They staged tractor blockades, burned tires, and threw manure on some administrative buildings to underline their disagreement with the revamped EU agricultural policies.
The bloc wants to become climate-neutral by 2050. Farming produces around 11% of the EU’s total greenhouse gas emissions. So, decision-makers saw it fit that 4% of the arable land should no longer be used for crops. Besides that, farmers should also reduce fertilizer use by 20% minimum and not plant the same crop on the same plot of land every year.
While those measures might have been gradually applied, the renewed EU policy also allowed for more competition with farmers from outside the bloc because of new free-trade agreements.
French agronomists were the most upset about these changes, but peers from Germany, Belgium, Italy, and Greece joined them as well. Eventually, the protests moved to Brussels, Belgium, where the EU Commission (imagine it like a sort of supranational government that doesn’t have much power) is headquartered.
The EU officials caved for the time being and agreed to eliminate the fertilizer reduction rule.
Upsetting everyone at once isn’t usually a good idea. However, the French were also hit with new car taxes, and these new levies weren’t only targeting the affluent. Although it’s not explicitly mentioned that it’s an anti-SUV measure, which would have made the “Tire Extinguishers” very happy, the structure puts more pressure on owners of all high-riding vehicles, including hybrids and plug-in hybrids.
Last year, buying a vehicle that emitted 141 g of CO2 per km (224 g of CO2 per mi) meant the owner had to pay an extra tax of €1,000 ($1,075). That was besides the regional (based on hp and CO2 figures) and weight levies. Then, there’s the value-added tax of 20%. Yes, it was already pretty pricey to buy something like a BMW M3 or an Audi SQ5 in the country that used to be Napoleon Bonaparte’s home.
Starting this year, French new car buyers are looking at a tax of around €1,100 ($1,183) for the same vehicle with emissions of 141 g of CO2 per km. Then, if the vehicle weighs more than 1,600 kg (3,527 lb), they’ll have to pay €10 ($11) for every extra kg.
A V8-powered 2024 BMW X5 M Competition has a starting cost of €159,300 ($171,209) with the VAT included. If the car is registered in Paris (Île-de-France region), there’s an extra tax of €1,358 ($1,460). Then, emissions of 295 g of CO2 per kilometer attract another tax of €60,000 ($64,493). It’s not over.
On top of all that, there’s the weight levy. The high-performance SUV weighs 2,410 kg (5,313 lb). That’s another €17,330 ($18,628).
So, someone buying a brand-new base-spec BMW X5 M Competition in France this year would spend €237,988 ($255,841) in total.
BREAKING: Shocking New Tax Scheme Set to Hit Car Buyers in 2025
In a surprising turn of events, it has been revealed that pickup trucks, all-electric vehicles, and hydrogen-powered cars will be excluded from a new tax scheme – at least for now. However, starting in 2025, buyers of heavy plug-in hybrids, such as the popular BMW XM 50e, will face almost identical taxes.
To truly understand the impact of these figures, let’s take a closer look at the situation in the United States. Buyers residing in states like Montana, Oregon, and Alaska already face a staggering $122,300 (€113,733) price tag for the BMW XM 50e if they manage to secure it at the manufacturer’s suggested retail price (MSRP). On top of that, they are only burdened with one additional car-related tax – registration. That’s all.
It’s important to note that fuel costs are significantly cheaper in the US compared to France. In Montana, for instance, the average price of gas stands at $2.9 per gallon, equivalent to $0.7 per liter. In contrast, the French pay a whopping $1.9 per liter, which translates to an eye-watering $7.1 per gallon.
Unfortunately, the financial strain doesn’t end with these taxes for car enthusiasts residing in France. Cities now have the power to impose their own regulations, and the latest news from Paris is far from encouraging. The local population recently voted in favor of tripling parking fees for vehicles powered by internal combustion engines weighing over 1,600 kg (3,527 lb) and all-electric vehicles weighing over 2,000 kg (4,409 lb).
Even Europe’s best-selling car, the Tesla Model Y, will not be exempt from these increased parking fees once they come into effect. While the rear-wheel-drive version of the Model Y, weighing 1,909 kg (4,209 lb), will avoid the revised charges, the same cannot be said for the variant equipped with two motors, weighing 2,003 kg (4,416 lb).
As the referendum outcome becomes public policy, owners of the Model Y Long Range can expect to pay the following parking rates in Paris:
– €18 ($19.3) per hour for parking for one to three hours in the first 11 districts
– €29.25 ($31.45) per hour for parking for four hours in the first 11 districts
– €34.25 ($36.83) per hour for parking for five hours in the first 11 districts
– €37.50 ($40.33) per hour for parking for six hours in the first 11 districts
– €12 ($13) per hour for parking for one to two hours in the remaining eight districts
– €16 ($17.21) per hour for parking for three hours in the remaining eight districts
– €19.5 ($21) per hour for parking for four hours in the remaining eight districts
– €22.8 ($24.52) per hour for parking for five hours in the remaining eight districts
– €25 ($26.88) per hour for parking for six hours in the remaining eight districts
While residents will enjoy special parking rates near their homes, it’s important to note that these perks will be canceled out when visiting restaurants or attending events. In other words, they will be subjected to the full parking fee. If you have plans to visit Paris and rent a crossover SUV, be prepared for these impending charges. While they have not been officially implemented at the time of writing, the current administration is determined to turn them into a reality. Stay tuned for further updates.
Paris Sets Example for US: Should America Follow Suit?
In a surprising move, Paris has implemented strict measures to combat congestion, pollution, and global warming. The city charges exorbitant parking fees and imposes high taxes on heavy cars. Additionally, older vehicles must purchase a sticker to enter the city, confirming their eligibility. Failure to comply results in a hefty fine.
This decision has garnered support from netizens worldwide, including some Americans and Canadians. They believe higher levies and parking fees for larger, polluting cars are necessary. However, implementing such measures on a federal level in the US would have limited impact on public health and the environment.
The top three best-selling vehicles in the US last year were Ford, Chevy, and Ram pickup trucks. If the US were to follow France’s lead, these vehicles would be excluded. The popular Rav4 would also be deemed ineligible due to its weight.
The issue at hand extends beyond Americans’ love for pickup trucks. It lies in the culture, urban planning, and lack of reliable public transit. Unlike Paris, the US heavily relies on personal vehicles, making it difficult to escape the need for a car unless one is financially well-off.
Personal vehicles are deeply ingrained in the American identity, symbolizing independence and freedom. The ability to go wherever, whenever is cherished, which is evident in some states allowing 14-year-olds to obtain learner’s permits.
While minimizing road transport pollution is a worthy goal, it cannot be achieved through increased taxation and parking fees alone. Reliable alternatives must be provided to the public before asking them to drive less. Unfortunately, the US prioritizes car infrastructure over investing in high-speed rail or other sustainable transportation options.
Europeans may champion the green movement at the expense of farmers and car owners, but Americans are not ready to make such sacrifices. The US needs to focus on developing reliable alternatives and improving public transit before implementing similar measures.
