Purchase bonuses for electric cars will return in Germany on January 1, 2024, following a decision by the Federal Ministry for Economic Affairs and Climate Action.The reinstated subsidies aim to bolster demand for electric vehicles as sales have slowed in recent months.
The resumption of purchase premiums addresses concerns from the automotive industry and environmental groups about declining EV adoption rates. The new program offers up to 4,500 euros for the purchase of a new electric vehicle, with the amount varying based on the vehicle’s list price and the buyer’s contribution. This move is intended to help Germany meet its climate goals and accelerate the transition to electric mobility, particularly as previous incentives expired at the end of 2023.The funding is allocated from the Climate and Change Fund.
