Germany’s Traffic Light Coalition Unexpectedly Turns Red For EV Incentives

Germany’s traffic light coalition has abruptly given a red light to all remaining EV incentives, a year in advance of what had previously been promised, due to the country’s economic woes. The eco-bonus (“Umweltbonus”) incentive had been intended to continue throughout 2024, and was only to be cancelled outright from January 2025. Instead it was cancelled with immediate effect on 17th December 2023. The German Economics Minister Robert Habeck had initially said on Wednesday 13th December that “We will phase out the environmental bonus, i.e. the subsidy for EVs – sooner.” He did not specify when that “sooner” would be, and many…