The market for licence-free cars - France (2025)

1.2 Global and European markets

Worldwide market

In ****, the market is estimated at $*.* billion, and should reach $**.* billion in ****, representing significant growth driven by a compound annual growth rate (***) of around **.**%. This dynamic reflects increased adoption of these vehicles, particularly in urban areas where they offer an alternative to conventional cars.

Global mini-car market size France, **** - *****, in billions of US dollars Source: ****

The licence-free car (***) market is part of the global dynamic of light quadricycles, which are experiencing strong growth worldwide. In ****, the global market for quadricycles and tricycles is valued at $*.* billion, and is expected to reach $**.* billion by ****, with a CAGR of **.**%, according to Mordor Intelligence.

Quadricycles, which include VSPs, make up the bulk of the global market in terms of sales, confirming their growing adoption. This expansion is fuelled by several factors:

Growing urbanization, particularly in Asia and Europe, where these vehicles offer a practical, compact mobility solution. Environmental restrictions on combustion-powered vehicles, accelerating the transition to electric quadricycles. Increased demand for accessible vehicles from young drivers and senior citizens, who are looking for an alternative to conventional cars.

Europe is a key market for PSVs, with players such as Aixam and Ligier leading the way. However, Asian manufacturers, notably Japanese and ...

1.3 Strong growth in the French market

Since recently, the French market for licence-free cars has been growing strongly. Indeed, the number of carts sold between **** and **** has more than doubled, rising from **,*** to **,***[***], with **,*** vehicles sold in * years.

There are two main reasons for this leap in sales volume:

the dazzling success of the Citroën Ami, on sale since **** the lowering of the age limit for driving this type of vehicle from ** to ** since ****

Number of licence-free cars sold by manufacturers France, **** vs ****, in units Source: ****

According to LeLynx, an online price comparator, the average price of licence-free cars is **,*** euros. This is also the estimate given by insurly. We can therefore estimate the value of the licence-free car market in **** by multiplying the number of cars sold that year by the average price:

Market size = **,*** VSP x **,*** euros = ***,***,*** euros

The market size for licence-free cars in **** is thus estimated at ***.* million euros.

In ****, this market size rises to ***.* million euros.

1.4 Foreign trade in cars

The customs product nomenclature does not allow us to analyze foreign trade in license-free cars alone. It does, however, allow us to study the trade balance for code ****: "Passenger cars and other motor vehicles principally designed for the transport of less than ** persons", providing a clearer picture of trade in this type of product.

Despite a steady increase in exports, and a recent decrease in imports, France's trade balance for the car sector remains in deficit, and this deficit persists, rising from -$**.*** billion in **** to -$**.*** billion in ****, and -$**.* billion in ****. In detail, car exports will amount to $**.* billion in ****, while imports will total $** billion.

Car trade balance France, **** - ****, in billions of dollars Source: ****

The * main car-supplying countries by value are Germany and Spain. Belgium completes the podium.

Main countries supplying cars to France France, ****, in Source: ****

On the export side, France's main customers are Germany, Belgium and Italy.

France's main customer countries France, ****, in Source: ****

We can see thatmost of our trade, whether import or export, is with European partners.

2.1 The French car fleet

All passenger cars France, ****-****, in millions Source: ****

The number of cars on the road in France has risen from **.** million in **** to **.** million in ****.

Breakdown of the French car fleet France, ****, as% of total Source: ****

The graph shows that the French car fleet in **** is dominated by passenger cars, which account for **.*% of the total. Light commercial vehicles(***) follow with **%, while trucks and buses/coaches account for only a small share, *.**% and negligible respectively.

age of French passenger cars France, ****, in Millions Source: ****

The graph shows the breakdown of the French car fleet by age in ****. It can be seen that the most recent cars (***) and those aged * to * years represent the majority, with around *.** million and *.** million respectively. This means that almost half of all passenger cars on the road in France are less than ** years old.

By contrast, there are far fewer cars aged ** years and over (***).

Breakdown of commercial and private vehicles France, ****, in Millions Source: ****

The graph shows that the majority of cars on the road in France in **** will be private cars, representing **.** million units, compared with just *.** million commercial vehicles. This means that almost **% of the car fleet is made up of privately-owned ...

2.2 Unlicensed car registrations

After a drop in the number of new vehicles sold between **** and **** (***), the number of small car registrations remained stable between **** and ****. However, since ****, the market has seen strong growth. Indeed, new small car registrations rose by **% in **** compared to ****. In ****, growth accelerates, with new PSV registrations up **% on ****, despite a recent decline in the fleet in ****. A recovery is noted in ****, however.

This significant growth in **** and **** is largely attributable to the introduction of the Citroën Ami, the brand's first licence-free model (***). Indeed, the model was a runaway success from its launch date, enabling Citroën to become the third-largest manufacturer in the French market in just * year, in ****, and the second-largest in the first quarter of ****[***].

Trend in the number of new licence-free car registrations France, **** - ****, in thousands Source: ****

Used licence-free car registrations appear to be more stable. However, after a rise between **** and **** (***) and is maintained over the years **** and ****.

Number of used licence-free car registrations France, **** - ****, in thousands Source: ****

2.3 Obtaining and losing a license: two major determinants of demand

Obtaining a license

Obtaining a license is an important determinant of demand, insofar as the lower the number of licenses issued, the greater the potential customer base for licence-free cars.

The graph below shows the evolution of the number of permits issued by category between **** and ****:

The number of B licenses (***). In ****, the health crisis prevented many applicants from taking the test, resulting in a sharp drop in the number of licenses issued. In ****, the number of licenses issued reached ***,***, partially offsetting ****, before finally resuming in **** the slow decline begun in ****.

The A* license entitles the holder to drive light motorcycles with a maximum displacement of *** cm³. These machines represent a substitute product, and therefore competition for the PSV market. As shown in the graph below, the number of licenses issued in this category between **** and **** is rising, although this does not represent a definitive trend. However, this increase may also be a sign that road users are moving towards alternatives to the conventional car for their journeys.

As for the A* license, which allows riders to drive motorcycles up to ** kW (***), its issuance rose sharply in **** following the reform of the motorcycle license, before levelling off.

Number of B, A*, ...

2.4 Young people, the new target group for licence-free car manufacturers

Since the law lowered the age limit for driving without a license (***), the market for cars without a license has seen its audience get younger[***].

As proof, according to Marie-Laure Nivot, Market Intelligence Manager at AAA Data, registrations for small cars among teenagers (***) are increasing by *% per year. According to this source, licence-free cars are increasingly becoming a substitute for scooters and mopeds for this age group, and have the advantage of being perceived as safer, especially by the parents of these young drivers. These comments echo those of Jean d'Ambert, Managing Director of Smart Mobility Lab: "We've gone from a dusty vehicle to a trendy object that appeals to a younger clientele than the traditional users of licence-free cars". According to François Ligier, CEO of the eponymous brand, this is also the fruit of the efforts of manufacturers who "have been working to rejuvenate the image of licence-free cars for many years".

Several figures confirm this rejuvenation of the market's clientele:

Of the **,*** small car drivers insured by Matmut, **% are young people. [***] Of the **,*** vehicles produced by the Ligier group, "**%" are bought by minors, bearing in mind that teenagers are a "priority target" for VSP manufacturers. [***] At Aixam, leader ...

2.5 The electric car: the future of VSP demand?

the study was carried out byIFOP for Roole on a representative sample of *,*** people aged ** and over. Respondents were selected according to the quota method, taking into account gender, age and profession, with stratification by region and urban area. Data were collected via an online self-administered questionnaire from December ** to **, ****.

Intention to purchase an electric vehicle in the next few years France, ****-****, in Source: ****

Between **** and ****, the proportion of French people saying they intend to buy an electric vehicle dropped from **% to **%. This gradual decline reflects a loss of interest in these vehicles, despite the incentive policies in place.

This decline can be interpreted as the result of several factors: a still high cost despite incentives, a range deemed insufficient for certain uses, and persistent doubts about the real ecological impact of electric cars. This trend could have an impact on the licence-free car (***) market, which closely follows developments in the automotive sector.

Reasons for not buying an electric vehicle in the next few years France, December ****, in Source: ****

One of the main reasons for reluctance to buy an electric vehicle is its price, cited by **% of respondents in ****, after reaching **% in ****. Although this concern seems to be decreasing slightly, ...

3.1 Sector value chain

Below is a simplified value chain for the licence-free car market:

Source: ****

Manufacturers (***) are the players in the first and fourth stages of the above value chain. It is they who design the vehicles in the design office, and assemble the parts. However, the manufacture of components and parts is for the most part outsourced. Among other things, before being assembled into the final product by the automaker, several systems and sub-systems made up of individual parts are themselves assembled by intermediaries, external to the company, called system builders or assemblers. This is followed by the distribution stage, which may be carried out either by the manufacturer's distribution subsidiaries, or by dealers. Final customers are generally private individuals, but may also be companies or car-sharing services.

3.2 The main manufacturers on the market are French

The licence-free car market continued to grow in ****, dominated by Aixam, which consolidated its leadership with **,*** units sold, representing growth of *.*% and a market share of **.*%. Citroënaffwas a distant second with *,*** sales, a more moderate increase of *.*% and a market share of **.**%.

Ligier, historically a key player in the segment, fell back slightly in volume with *,*** units, but managed to maintain growth of *.*%, representing **.*% of the market. The arrival of new competitors and the growing popularity of electric vehicles could explain this slowdown.

Number of cars sold by manufacturer France, **** vs ****, in units Source: ****

Among the other brands, Fiat made its presence felt with *,*** sales, although not in the top three. Chatenet, a more confidential brand, maintained its niche with *** units, up *.*%. casalini's sales jumped by **.*% to *** vehicles. Finally, IMF Industrie and Aima, new entrants to the market, made a remarkable debut with ** and ** sales respectively, testifying to growing interest in the segment.

Share of licence-free car sales by manufacturer France, ****, in Source: ****

3.3 Production and distribution

Two types of player can be distinguished in the licence-free car market:

Specialized players (***), producing only licence-free cars and favoring"made in France" production. Major generalist automotive groups (***), who have diversified their offer to reach new customers. The latter prefer to outsource production. Renault withdrew from the market after production of its Twizy was halted, but should soon return with its new Mobilize Duo.

Source: ****

4.1 Offer typology

The table below shows a comparison of several models distributed by different manufacturers. We can see that there are often two types of offer: buying the vehicle or leasing it. Unsurprisingly, electric versions are also more expensive.

We can also point to the move upmarket and diversification of the range, with convertible, coupé and SUV models. Brands also offer extensive vehicle customization .

It's also worth noting that several manufacturers also offer utility ranges (***).

*prices "from

Source: ****

4.2 Price rises affecting the entire automotive sector

The automotive market is experiencing significant price inflation, particularly for new vehicles. In ten years, the average price of a new car in France has risen from €**,*** in **** to €**,*** in ****, an increase of almost **%. In the last year alone, between **** and ****, the average price rose by *%, from €**,*** to €**,***.

This rise is attributed to several factors:

The electrification of the market, with growing demand for electric vehicles that are more expensive to produce. Rising raw material costs, especially for electronic components and batteries. Stricter environmental and safety standards, driving manufacturers to invest more in research and development. A reduction in entry-level offerings, as manufacturers favour better-equipped, more profitable models.

Against this backdrop of generalized price rises, more affordable alternatives such as non-licensed cars are gaining in appeal.

Average price of a new car France, ****-****, in units Source: ****

While licence-free cars remain much more affordable than conventional vehicles, their prices have also risen significantly between **** and ****.

Aixam: from €*,*** in **** to €**,*** in **** (***). Ligier: from €*,*** in **** to €**,*** in **** (***). Chatenet: from €*,*** in **** to €**,*** in **** (***).

On average, a licence-free car now costs over €**,***, representing a significant barrier to entry for some buyers.

The rise in PSV prices is due in particular to :

The gradual electrification of ...

4.3 Electric cars

The number of electric vehicles in France has grown spectacularly in the space of ** years. In ****, it numbered just *** units, an insignificant figure on the scale of the automotive market. By ****, this figure will have risen to *.* million, reflecting the accelerating pace of the automotive industry's energy transition.

Evolution of the French electric vehicle fleet France, ****-****, in units Source: ****

The electrification of the French automotive market is accelerating, and licence-free cars are no exception: by ****, electric vehicles will account for **% of new registrations, compared with just *% in ****, confirming the growing adoption of this technology

Share of electric vehicles in new car registrations France, ****-****, in Source: ****

The electrification of the non-licensed car market is accelerating, although it still remains a minority compared to combustion-powered models. In ****, registrations of electric models reached record levels, confirming consumers' growing interest in these more ecological and economical alternatives.

The Citroën Ami is the segment's flagship model, with *,*** units sold, consolidating its status as undisputed leader. Its compact design, attractive price and low-cost leasing have all contributed to its success. Behind it, Fiat Topolino made a remarkable entry into the market with *,*** sales in its first year, demonstrating strong demand for the new electric ...

4.4 Carsharing: An emerging trend with great future potential

Carsharing in France is struggling to establish itself as a credible alternative to the private car, despite the environmental and economic benefits it can offer. In ****, there were some *** communes with a carsharing service, covering ** million inhabitants.

How many car-sharing vehicles are there in France? France, January *, ****-January *, ****, in units Source: ****

However, the adoption of carsharing remains limited due to structural obstacles, notably an insufficiently developed offer, an incomplete regulatory framework and a lack of public awareness.

Carsharing is available in several models:

Loop: the user must return the vehicle to its point of departure (***). Direct trace: the vehicle can be dropped off at a different station (***). Free-floating: cars can be left anywhere in a defined area, without a designated station (***). Between private individuals: via platforms that put owners and renters in touch with each other (***).

While the number of users continues to grow, reaching over ***,*** subscribers in France by ****, profitability for operators remains a challenge. Operating costs, particularly for vehicle maintenance and logistics, are high. At the same time, the sector is facing growing competition from VTCs, short-term rental services and the development of soft mobility such as self-service bicycles and scooters.

Structural obstacles are holding back market growth, for ...

5. Regulations

The French market for licence-free cars is mainly governed by European Directive ***/****. The main legislation concerning the vehicle itself is listed below (***):

Unladen weight limited to *** kg Diesel or electric engine limited to * kW Speed must be less than ** km/h Engine capacity must be less than ** cm³. Number of seats limited to * This type of vehicle is exempt from technical inspection

Next, the main legislation concerning the driver is listed below (***):

must be at least ** years old. This age limit was adopted in ****. Before this date, the minimum age was **. hold an AM license or BSR (***) at least for drivers born after January *, ****. Drivers born before this date are exempt from the requirement.

What's more, although you don't need a "B" license to drive a car without a license, the vehicle must still be insured with at least third-party liability coverage. [***]

With regard to traffic, no-license cars are not allowed on freeways or expressways.

Finally, from **** onwards, PSVs will have to undergo regular technical inspections like the rest of the vehicles inspected, to check that they comply with European standards on pollution and road safety. [***]

5.2 Recent regulations: mandatory roadworthiness tests

Since April **, ****, licence-free cars have been subject to mandatory roadworthiness testing, in the same way as other category L vehicles (***). The aim is to enhance road safety and reduce pollutant emissions from these vehicles.

First inspection: must be carried out within six months of the fifth anniversary of the vehicle's first registration. Frequency: the inspection must be repeated every three years thereafter. Conditions for resale: to sell a licence-free car to a private individual, a roadworthiness test valid for less than six months is required. Inspection points: only ** points are examined (***), focusing mainly on safety and pollution.

Dates of the first technical inspection by year of registration:

Before **** Before April **, **** → Inspection between April ** and August **, **** After April **, **** → No later than * months after the anniversary date of registration and before December **, **** ****, ****, **** Inspection in **** No later than * months after the anniversary date and before December **, **** ****, **** Inspection in **** No later than * months after the anniversary date and before December **, **** **** Inspection in **** to be carried out within * months of the *th anniversary of first registration[***]

Initial results reveal a high rate of counter-inspections for unlicensed cars, reaching **% compared with an average of **.**% for all light vehicles. The main causes of retesting include :

Worn tires, Shock ...

6. Segmentation

6.2 The analyst's eye

Context:

The French automotive landscape is at a major turning point. With **% of households still owning a combustion-powered vehicle in ****, electrifying the fleet remains a major challenge. Yet the transition is inevitable: the ban on new combustion-powered vehicles from **** means that consumers will have to rethink their mobility choices. In the face of this change, new alternatives are emerging: electric cars, car-sharing, and the boom in license-free vehicles. Against this backdrop of upheaval, it is essential to analyze the trends shaping the market and consumer expectations.

Key trends:

trend *: The rise of electric models: The electrification of the PSV segment is progressing rapidly. By ****, **% of licence-free car registrations would involve electric models, compared with just *% in ****. The range is expanding, with models like the Citroën Ami and Ligier Myli attracting a younger, city-dwelling clientele.

trend *: Younger, urban customers: Historically popular with senior citizens and rural populations, VSPs are now appealing to a younger audience. The lowering of the minimum age to ** in **** and the dynamic marketing positioning of manufacturers have attracted new consumers.

trend *: A very fast-growing market: The VSP market will double between **** and ****, rising from **,*** to **,*** units sold (***). This growth is driven by youth appeal, the success of ...

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