Electric mobility expected to tick upwards in Germany in 2025 as VW faces hefty losses
Die Welt / Handelsblatt
The slow uptake of electric mobility by German motorists could get a boost in 2025 thanks to changing attitudes and the availability of more affordable electric vehicles (EVs), newspaper Die Welt reported. In the past year, four percent of the customers of major car insurance company HUK Coburg said they had changed from an internal combustion engine vehicle to an EV and electric cars still only account for three percent of the company’s total insured fleet. The figures showed that that the EV segment so far has been growing mainly thanks to registrations made by commercial users, such as company cars, while private customers often cited high prices and little choice in car models as reasons for the slow uptake.
However, a survey commissioned by HUK Coburg showed that people became more open to buying an EV once they have used one themselves, which more than two thirds of people surveyed so far have not yet done. Nineteen percent said that an EV would be the only option for them when buying their next car. Moreover, the availability of cheaper electric models is set to grow fast next year, as producers try to avoid EU emissions fines by selling more EVs. French company Renault, Czech Skoda or South Korean Hyundai all hope to conquer the budding budget EV sector with new models in 2025, the newspaper said.
Meanwhile, Germany’s largest carmaker VW expects additional financial losses of 1.5 billion euros annually due to the new EU emissions limits for vehicle fleets, newspaper Handelsblatt reported. This would include fines for missing the target and lost profits due to selling more EVs rather than more profitable combustion engine models, VW manager Rolf Woller said.
Germany's chancellor Olaf Scholz together with French president Emmanuel Macron earlier this week said they oppose EU fines for carmarkers who invest in electric mobility even if they fail to meet agreed emissions limits. They argued this would diminish their ability to master the transition as well as the EU's ability to withstand international industrial competition.
