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Germany Readies 2026 EV Subsidy as Self-Registrations Inflate Sales

New KBA and DAT figures show soaring self-registrations alongside falling residual values, intensifying concerns over taxpayer cost and market distortions.

Overview

  • Coalition plans reported for a targeted purchase program from January 2026 include up to €3,000 in public support matched by manufacturers, a BEV-only focus, and price and income limits with possible inclusion of used cars.
  • Official data show 102,520 battery-electric cars were self-registered in the first ten months of the year, roughly one in four new BEVs and up from about one in six two years ago.
  • DAT reports the average three‑year residual value for EVs has fallen to about 48.8%, down from 58.1% two years earlier, a slide that can push up leasing costs despite rising new‑car discounts.
  • Dealer groups and market analysts warn that fresh subsidies risk windfall gains and short-lived demand spikes, urging attention to high charging costs and local infrastructure instead.
  • Draft ideas such as Social Leasing face heavy administrative hurdles, and proposals to favor EU-built models draw legal and trade warnings as industry leaders press for manufacturer-neutral rules.