Choose your language

The cost of tomorrow's trucks: TCO and CO₂ in France
France | Paris

The cost of tomorrow's trucks: TCO and CO₂ in France

18 Jun 2026 · Intelligence, Environment

As new powertrain technologies emerge and EU policies push towards zero-emission vehicles, operators face growing pressure to make the right long-term fleet investments. IRU member AFTRI, the French International Road Transport Association, helped us unpack the key factors shaping those choices.

Road freight is the backbone of France’s economy, carrying close to 90% of the goods and materials exchanged between businesses and customers.

For decades, the sector has relied on diesel trucks (97% of the fleet). Their high torque and reliable fuel usage make them well suited to heavy loads over a wide range of distances and terrains, while helping keep the total cost of ownership (TCO) competitive.

Today, however, operators have access to several lower-carbon alternatives.

We asked Mathilde Lecolant, Policy Officer at AFTRI, to explain the key factors influencing powertrain choices in France.

What’s shaping powertrain choices in France?

Powertrain choices are shaped by a combination of operational, economic, regulatory and infrastructure factors.

Operators must weigh the technical maturity, industrial readiness, vehicle availability, and overall economic viability of each technology against the wider regulatory and cost environment.

The regulatory framework, including EU climate rules such as Fit for 55, CO₂ standards for heavy-duty vehicles and the renewal energy directive (RED III), and TCO factors like diesel prices, fuel taxation, possible tax alignment, exemptions for alternative energies and emissions-based tolling influence powertrain choices.

The availability and development of infrastructure is another decisive factor, from electric charging points and LNG/CNG stations to biomethane supply and hydrogen refuelling networks.

Customer expectations and decarbonisation commitments are increasingly influencing fleet investment decisions. The key challenge for operators is to identify solutions that support decarbonisation while remaining economically sustainable and operationally feasible, especially when it comes to range, refuelling or charging times, and payload.

Given the high upfront costs associated with certain technologies, public incentives, alongside the other factors previously mentioned, are an important element in supporting investment and improving economic viability.

What about the BEV incentives?

The improved French battery-electric vehicle (BEV) incentives available since 1 June 2026 are expected to improve the economic viability of electric trucks by reducing part of the upfront investment gap with diesel and other alternative powertrains.

The revised scheme provides significantly higher support for operators. It strengthens BEVs’ competitiveness in suitable use cases, especially regional operations with predictable routes and depot charging.

However, subsidies alone will not determine the best powertrain choice. The final TCO depends on vehicle utilisation, payload, electricity prices, charging strategy, toll treatment, residual value and the operational fit of BEVs for each route.

In other words, the enhanced subsidies can improve the business case, but they do not remove the need for operation-specific analysis.

So which powertrain offers the best TCO-CO2 trade-off?

BEVs currently offer the greatest potential for decarbonisation in France, according to IRU’s new TCO study. They can reduce emissions by up to 95% while delivering a lower TCO than the reference diesel vehicle: 7% lower for rigid trucks and 13% lower for articulated trucks.

This advantage depends largely on purchase subsidies and can be improved further through smart overnight charging.

However, BEVs must be able to match diesel’s operational role and have adequate charging infrastructure to compensate for their shorter range compared with conventional diesel vehicles.

IRU Intelligence Briefing

What about HVO?

HVO also represents a compelling transition pathway, particularly as it can be used in existing diesel vehicles without requiring significant changes to fleets or operations.

When used in the most fuel-efficient diesel trucks, HVO can reduce CO₂ emissions by up to 89% while lowering TCO by 6% for motorway T2S3 vehicles and 4% for regional rigid trucks, according to IRU’s study.

Even in standard diesel vehicles, HVO reduces emissions by 87% and TCO by 3%. Although HVO is currently more expensive at the pump, the introduction of ETS2, the EU’s new emissions trading system, will change TCO dynamics between diesel and HVO.

What about Bio-LNG?

Biomethane powertrains, especially Bio-LNG, can reduce both TCO and emissions. According to IRU’s study, their performance is particularly strong for articulated vehicles, where emissions benefits are clearer.

For motorway T2S3 operations, Bio-LNG performs at a level comparable to HVO. For regional rigid trucks, the higher purchase price weighs more heavily on TCO.

And hydrogen?

With France’s electricity mix, hydrogen vehicles can significantly reduce emissions. But according to IRU’s study, their TCO remains an outlier.

Hydrogen is the only option that remains more expensive than the reference diesel vehicle, mainly due to high vehicle and energy costs.

How can policymakers support the transition to alternative vehicles?

Policymakers can support the transition by creating the conditions that allow operators to invest with confidence.

This includes ensuring a stable and predictable regulatory framework, the deployment of charging and refuelling infrastructure, and maintaining and developing support mechanisms that help bridge the economic gap between conventional and alternative powertrains, particularly where vehicle acquisition costs remain significantly higher.

The continued electrification of the road freight sector is essential to achieving decarbonisation objectives, and public policies should support its deployment at scale.

At the same time, other low-carbon solutions should not be overlooked and should continue to receive appropriate support to meet the diversity of transport operations across Europe.

Ultimately, the success of the transition will depend on aligning decarbonisation objectives with operational realities and economic viability.

Learn more

Webinar replay on the TCO and CO₂ emissions of alternative truck powertrains in France is available here.

IRU experts were joined by Jean-Yves Kerbrat, General Director at MAN Truck & Bus France, who provided the OEM perspective.

What about in Italy, Poland and Spain?

We carried out the same TCO analysis and CO₂ emissions assessment for Italy, Poland and Spain.

Given each country's specific context, which powertrain has the lowest TCO? And which one reduces emissions the most? Discover our TCO briefings.