Chancellor Angela Merkel’s office said officials and industry representatives agreed late Monday to increase by half the existing government incentives for electric vehicles with a list price of 40,000 euros ($44,500). The German government has agreed to increase its subsidies for electric cars costing €40,000 ($44,500) by 50%, half of which, €6,000, will come from the auto industry, and is extending the support package to 2025 from its current 2020 deadline. In a statement on Monday, Chancellor Angela Merkel said that she was "convinced" that Germany could meet its target without increasing taxes or introducing new ones. The subsidy extension was announced as VW began mass production of its ID.3 electric car.
The German government has agreed to increase its subsidies for electric cars costing €40,000 ($44,500) by 50%, half of which, €6,000, will come from the auto industry, and is extending the support package to 2025 from its current 2020 deadline. In a statement on Monday, Chancellor Angela Merkel said that she was "convinced" that Germany could meet its target without increasing taxes or introducing new ones. The subsidy extension was announced as VW began mass production of its ID.3 electric car.