Overview
- A leaked European Commission draft for an Industrial Accelerator Act would tie public EV support to strict Union-origin criteria, including phased battery-localization rules that tighten from year three to require EU-made cells and cathode active materials.
- The proposal would apply to national schemes newly launched or updated six months after it takes effect, creating a timing squeeze for Berlin’s planned, socially targeted subsidy.
- Germany’s program offers up to €6,000 per private buyer retroactive to January 1, 2026, but final implementing rules are still pending and the application portal is not expected until May.
- Dealer groups escalate criticism of the rollout, with VAD reporting order intake around 20% below plan and ZDK citing shaken consumer trust after past subsidy changes, while calling for faster implementation.
- Carmakers are split on EU-localization: volume brands such as Volkswagen and Stellantis back Europe-first incentives, whereas BMW and Mercedes-Benz warn of supply-chain disruption and potential trade repercussions; the Commission is expected to present the plan in early March.