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Germany Updates: Berlin Reinstates Support for Electric Cars

2026-01-19

Germany Updates: Berlin Reinstates Support for Electric Cars

Germany has reinstated support for the purchase of electric cars in an attempt to support families, revitalize the automotive sector, and advance climate protection goals, but the decision has faced criticism from environmental groups and opposition parties.

German Environment Minister Carsten Schneider described the new support package as a significant boost for the automotive industry and an important step for environmental protection, explaining that the program aims to assist families who cannot afford the cost of purchasing a new and environmentally friendly car.

Under this program, buyers can receive government support ranging from €1,500 to €6,000 when purchasing an electric car. Families with two children are eligible if their annual income does not exceed €90,000, which expands the circle of beneficiaries among low- and middle-income earners.

The largest trade union in Germany, IG Metall, welcomed this step, with its president Christiane Benner stating that it is fair for low-income earners to receive greater support, considering that the policy achieves a social and economic balance.

In contrast, environmental organizations and the opposition Green Party criticized the inclusion of support for plug-in hybrid cars and vehicles equipped with range extenders. Jürgen Riech from the Environmental Action Organization in Germany warned that these cars could emit up to five times the carbon dioxide emissions in actual use, reducing their climate benefit and potentially diverting consumer spending away from other economic sectors.

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