France Mulls Large-Car Tax

The French government may impose an unspecified new tax on large luxury cars to encourage consumers to shift to more fuel-efficient smaller vehicles, according to La Tribune.

The Paris-based newspaper cites a study commissioned by towns with auto plants. The initiative may have protectionist as well as environmental aims, La Tribune opines, noting that domestic carmakers PSA Peugeot Citroen and Renault SA specialize in small cars. The newspaper says the proposal's stated goal is "winning back" 500,000 vehicles per year.