Study: Manufacturers offer fewer discounts for electric cars

As of: April 10, 2024 9:40 a.m

Fewer electric cars have recently been sold in Germany. According to the latest figures from the Center Automotive Research, this is likely to remain the case for the time being. Manufacturers offer smaller discounts than for combustion engines.

Some automakers scaled back their electric vehicle rebates in April, according to an analysis. On average, only 12.6 percent discounts were granted on the German market, reported the CAR Center Automotive Research. The study is based on sales prices collected via Internet intermediaries. For comparable combustion engine models, however, manufacturers granted an average discount of 16.9 percent, the authors write.

In the previous month there were significantly higher incentives to buy electric cars at 16.2 percent. Now the special conditions from VW for the ID models have expired. According to the investigation, e-discounts were also reduced at Audi and the Stellantis brand Opel. The former price breaker Tesla did not launch any new price campaigns despite significant declines in sales on the German market.

30 percent less e-Car registrations

The sales figures for electric cars in Germany have recently fallen significantly. According to the Federal Motor Transport Authority, new registrations fell by almost 30 percent in March compared to the same month last year. The market share of electric vehicles has also become noticeably smaller.

Automotive expert Ferdinand Dudenhöffer from CAR-Center Automotive Research expects further weak sales figures for electric cars and a market share of less than ten percent in the coming months. The cost factor plays an important role: for small and compact cars, the respective combustion models are between 11,000 and 14,000 euros cheaper than comparable battery-powered cars.

Anti-e-car campaigns curb the desire to buy

There are also political campaigns against electric cars. “It makes no sense for car manufacturers to use high sales promotion campaigns to oppose the political mood and the government sales bonuses that were canceled overnight,” concludes Dudenhöffer.

Constantin Gall, Managing Partner and Head of Mobility at EY for the Europe West region, made a similar statement. He said the abolition of the purchase premium had unsettled potential buyers. “Many customers are beginning to doubt the ramp-up of electromobility even though politicians are no longer willing to promote this technology.”

The state e-car sales bonus, the so-called “environmental bonus”, expired in Germany in mid-December. This meant that consumers could receive up to 4,500 euros when buying a new electric car in 2023.

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