Germany’s Transportation Sector Faces Roadblocks in Energy Transition

Despite progress in renewable energy, road traffic remains a major emissions source, with SUVs undermining gains from cleaner technologies.

The International Energy Agency (IEA) reports that road traffic accounts for 95% of emissions in Germany's transportation sector, which continues to lag behind the country’s broader energy transition progress.
Germany has increased the number of electric vehicles to 1.65 million, but reduced subsidies and high costs have slowed adoption rates.
The share of vehicles meeting stricter Euro 6 emissions standards or being fully electric has risen to 53%, aided by the removal of 1.7 million older, higher-emission vehicles.
SUVs have surged in popularity, with their numbers increasing by 588,000 to a total of 6.6 million, counteracting emissions reductions from cleaner technologies.
The IEA has called for stronger government incentives, expanded charging infrastructure, and promotion of public transportation to align the transportation sector with Germany’s climate goals.