The black-red coalition hopes to revive sluggish sales of electric vehicles with a new subsidy program. However, despite subsidies, improved infrastructure, falling electricity prices, and a growing number of charging stations, the market remains sluggish. Buyers’ lack of confidence in the long-term viability of electromobility is hindering development. Many prospective buyers doubt whether a purchase will be worthwhile in the long run – especially since the used car market for electric vehicles has practically collapsed. Leased vehicles being returned are flooding the market, and prices are falling rapidly. The term “purchase premium” for electric cars sounds like an incentive, but it doesn’t replace market-based logic. Without credible framework conditions, the transition to e-mobility threatens to become a multi-billion dollar boondoggle.
Trust Instead of Electric Car Subsidies
A healthy market thrives on trust – not on artificial incentives. Anyone investing 40,000 euros or more expects predictability and value retention. However, the rapid depreciation of used electric vehicles is shattering many buyers’ hopes for stability. The ongoing uncertainty surrounding the phase-out of combustion engines further exacerbates the situation. Instead of trying to artificially stimulate demand with yet another electric car subsidy, the government should finally create planning certainty. Only genuine credibility will convince the market, not frantic subsidy programs.

Furthermore, the expansion of the infrastructure is stalling. Without widely available charging stations, electromobility remains a risk. Building a stable charging infrastructure would be a far more sensible investment than constant subsidies that have little effect.
Subsidies against the market – an expensive misunderstanding
Fighting against market mechanisms with taxpayers’ money makes no sense. Subsidies can shift trends in the short term, but they do not create lasting demand. Anyone who tries to outsmart the market with money only produces wasted money. Such interventions distort competition without solving the underlying problem. Electromobility needs stable structures, not artificial support.
Even large manufacturers like VW show that political influence brings little progress. More government intervention does not mean more success, but often less dynamism. An electric car subsidy may sound popular, but it does not solve structural weaknesses. Sustainability is not created through political symbolism, but through economic common sense.
Everyday use instead of purchase incentives
The main problem lies in daily use. High electricity prices deter many drivers. Those who do not have a private parking space pay considerably more at public charging stations. This inequality prevents electric cars from establishing themselves as a real alternative. If using an electric car remains more expensive than a combustion engine vehicle, even generous subsidy programs won’t help.
Lower energy costs and fair tariffs at charging stations would be more effective. This would allow e-mobility to be stabilized in the long term, instead of artificially boosting it. Politicians need to understand that the future of electromobility is not decided in the subsidy budget, but at the charging station.
Lessons from Norway
Norway proves that subsidies can work – but only with clear rules. There, stable tax regulations, reliable infrastructure, and fair energy prices complement the purchase premium for electric cars, creating a long-term concept. Germany, on the other hand, distributes short-term subsidies without strengthening the underlying foundation.
A government that creates uncertainty at every charging station while simultaneously announcing new bonuses loses its credibility. Only those who create planning security can build trust and truly advance electromobility.
Conclusion – Trust instead of Subsidies
The German government must decide whether it wants to be a market participant or an arbiter. It cannot be both at the same time. Reliable infrastructure, stable electricity prices, and a transparent used car market strengthen trust – not yet another electric car subsidy.
Using subsidies to counteract market forces means burning capital. Only those who think long-term can secure the transition to sustainable e-mobility. The future is not created through short-term handouts, but through credibility, clear rules, and fair energy costs. (KOB)
