The freeway market - France (2024)

The French motorway concession market is worth around €11.6 billion

The global motorway concession market, and France in particular, has seen several important trends and challenges since 2020. The market slowed down in 2020 due to the economic impact of the COVID-19 pandemic, resulting in near-stagnation in traffic and a drop in sector sales of around €2 billion.

Despite this downturn, the market continued to grow, driven by demand for electronic toll collection subscriptions and toll price increases in line with the consumer price index.

France, where three major players - Vinci, Eiffage and Abertis - dominate the market, has had to contend with macroeconomic factors such as the elasticity of motorway traffic to GDP, with a long-term variation of 1.2% to 1.7% for a corresponding variation of 1% in GDP.

The increase in toll rates in 2022 was a response to the high inflation rates of 2022-2023, and although a real increase in toll ratesage is not expected before 2025, regulatory guidelines have been put in place to ensure that toll changes do not exceed specified limits.

Freeway concessionaires have faced major environmental and technological challenges. They have invested in solutions such as plant-based biosphalt and the construction of ecoponts.

Electronic toll collection saw a growth in subscriptions, with Liber-t for light vehicles and Tis-pl for heavy goods vehicles.

The static national car fleet and changing consumer preferences towards alternative, environmentally-friendly modes of travel.

With a significant part of the French motorway network under concession, and the imminent expiry of the main concessions in the 2030s, the market is at a crossroads that could see major change and the possibility of nationalization similar to that in Spain.

Dynamics of the French freeway concession market

The French freeway concession market has seen a sharp decline in its main source of revenue, motorway traffic. The slowdown in 2020 was marked by a sharp drop of almost 2 billion euros in the sector's overall sales.

After this period, the market rebounded. This recovery was fueled by strong demand for electronic toll collection subscriptions and an increase in toll prices.

The market is segmented: business customers mainly belong to the CI 3 and CI 4 vehicle categories, while private customers use lighter vehicles in the CI 1, CI 2 and CI 5 categories.light vehicles dominate freeway use, outnumbering heavy vehicles by around five to one.

Despite higher tolls for commercial vehicles, passenger vehicles contribute a greater share of revenues, accounting for between 7 and 8 billion euros, or around 66% of sales, compared with 3 to 4 billion euros for heavy vehicles.

Demand is closely linked to the country's economic health, with the long-term elasticity of motorway traffic to GDP estimated at between 1.2% and 1.7% for a 1% variation in GDP. This sensitivity is more pronounced for heavy goods vehicle traffic, which is directly influenced by economic fluctuations and changes in toll rates.

Fuel prices also play a key role, with a 1% increase in oil prices resulting in a 0.33% decrease in vehicle volume per kilometer.

Seasonal trends have a considerable impact on the market, with a marked increase in traffic during the summer vacations.

Technological advances have brought a new dynamic to the market, with electronic toll booths replacing traditional toll booths.

In France, 3 behemoths - Vinci, Eiffage and Abertis - dominate the market.

• Vinci: market leader
• Eiffage: France's second-largest player
• Abertis: international player and its French subsidiary Sanef

Inforamtion

• Number of pages : ~ 40 pages
• Format : Digital and PDF versions
• Last update : 23/01/2024

Summary and extracts

List of charts presented in this market study

• Trends in the size of the motorway concession market
• Average daily motorway traffic
• Top 10 countries by length of motorway network
• Trends in the size of the global road and highway construction and maintenance market
• Top 10 countries by length of motorway network
• France's favourite destinations for the All Saints' vacation 2023
• France's Top 3 favorite destinations for summer vacations in 2023
• Percentage of French people who went on summer vacation who stayed in France.
• Evolution of interest in "Ulys" research
• Evolution of the average French fleet
• Poll: What form of trnasport do you plan to take this summer?
• Annual change in toll rates
• Main contributors to the 29 million tonnes of CO2 emitted by the motorway sector
• Environmental expenditure by motorway concession operators
• Number of Liber-t pass subscribers
• Number of pass Tis-pl subscribers
• Workforce trends for the three main players in the motorway concession market
• French motorway network under concession
• Distribution of French freeway mileage between concessionaires
• Breakdown of motorway concession market share