France threatens to stifle hot hatch market with fines and taxes

The government of France has published the updated monetary values of environmental taxes and subsidies for 2020. The new figures do not bode well for the performance hatchback market.

Carbon dioxide emissions produced by most modern compact cars was found to exceed the quota, which in turns means that manufacturers of these cars will be facing hefty fines heading into next year. The new legislation will be adopted in two subsequent stages: on January 1 and June 1, 2020, simultaneously with the adoption of the new, stricter emission measurement method (WLTP).

Buying a car with CO2 emissions equal to or exceeding 173 grams per kilometer will involve paying €12,500 in environmental taxes. Most hot hatches currently on the market fall under this category, including the Ford Focus ST, Honda Civic Type R, Hyundai i30 N, and Renault Mégane RS Trophy.

If these norms spread to other countries in Europe later on, the performance hatchback market will fall on hard times, indeed.