Various manufacturers will pay ‘EV subsidy’ themselves in Germany

In Germany, an advantage of €4,500 has suddenly disappeared for those who want to purchase an EV, now that part of the €6,750 subsidy from the government has disappeared. Of course, this not only upsets potential buyers, but also car manufacturers who want to sell EVs. Suddenly it is more expensive for the customer and he may then walk away. That is why various manufacturers are taking action, reports say Reuters.

Audi and Volkswagen are responding to the situation by simply providing full subsidy for cars ordered before December 15. Volkswagen then wants to pay the lost €4,500 discount from its own pocket in the new year until March. Mercedes-Benz is also filling the gap until the end of this year, in the new year it will then only pay the part of the total subsidy that car manufacturers paid, so that would be €2,250. Stellantis follows the same course for the remainder of this year and will offer a reduced discount in 2024.

German EV sales desperately need such support, because even before the €4,500 from the government disappeared, sales had already fallen drastically. In November it was a minus of 22.5 percent for fully electric cars. These new developments do not help, of course, but in this way the manufacturers hope to limit the damage by stepping in themselves.