BOCHUM (dpa-AFX) – Discounts on electric vehicles remain substantial. In February, discounts for the most important models sold in Germany held steady at a high 19.5 percent, according to industry expert Ferdinand Dudenhöffer’s calculations—almost a percentage point higher than those for combustion engine vehicles. Thus, the fear that manufacturers might absorb part of the subsidy by offering lower discounts themselves when the state makes cars cheaper has so far not materialized.
This is actually a typical behavior, says Dudenhöffer. In the previous environmental subsidy, such windfall effects did occur to some extent.
On the other hand, there are virtually no higher discounts either, Dudenhöffer notes. “The problem is the income and child limits. Anyone with a family income of 45,000 euros and two children under 18 is hardly likely to buy a new car,” he emphasizes.
Criticism of the Subsidy Structure
In addition, the structure of the subsidy is problematic. With previous incentives, you knew what subsidy you would receive if you knew the cost of the car. The poor predictability now makes the new subsidy almost a roll of the dice by comparison. “And carmakers don’t roll dice.”
Dudenhöffer has been critical of the new subsidy for some time. Among other reasons, he argues it will hardly help German manufacturers, since their cars are generally too expensive for those eligible for the highest level of support—at least in the case of Mercedes, BMW, Audi, and Porsche. He therefore fears that the subsidy could open the door for Chinese suppliers to enter the German market.
He currently sees some individual offers from China with very high discounts. Overall, however, Dudenhöffer does not believe the subsidy will trigger a significant boost in purchases. Whether he is correct will likely only become apparent in a few months, once new registration figures are available, as there is usually a time lag between ordering and registering a car./ruc/DP/mis
