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Germany Says EV Purchase Subsidy Will Last Through 2027

The environment minister pledged to give buyers advance notice if funds run low, offering short-term planning certainty.

Overview

  • Environment Minister Carsten Schneider confirmed on Wednesday that the current EV and plug‑in hybrid purchase subsidy fund should cover demand into 2027.
  • The programme has a €3 billion envelope for 2026–2029 that the government estimates can support about 800,000 subsidised vehicles.
  • Schneider promised the ministry will publicly warn in good time if it becomes clear the available funds are likely to be exhausted so buyers can plan purchases.
  • There will be no immediate restriction on cars from Chinese manufacturers, with those vehicles making up roughly 9–17 percent of subsidised sales depending on how joint ventures are classified.
  • The coalition has agreed to introduce EU‑compatible value‑added criteria into the scheme once legally sound rules are in place, a move that could shift incentives toward local supply chains and affect which models qualify for support.