The German electric vehicle industry

Germany has an enormous car industry which is the largest investor of electric vehicles globally. In the past few years, German car manufacturers including Daimler, BMW and Volkswagen announced that they would set aside €4.7 billion to invest in electric vehicles. With such pledges, it is no doubt that the German electric vehicle market will continually grow. Banks are also coming with car loans that will allow more people to own electric vehicles. If interested in such, you can have a look at Carcredit. A visit to review sites such as will also help you identify reputable car loan lenders that will facilitate you to own your first electric vehicle. With the fact that Germany will host the International Conference on Electric Vehicle and Vehicle Engineering 2021 (CEVVE 2021) in September this year, this article seeks to overview the electric vehicle market in Germany.

The first arrival of Electric Vehicles in Germany

The ’90s marked when electric vehicles began to emerge in specific factories and design offices in Germany. Electric vehicles at the time were viewed as vehicle technologies that would reduce exhaust emissions. Electric vehicles got an upturn about three decades ago. On Rugen Island in 1994, there already were battery-powered vehicles in circulation, which foreshadowed the production models that were to come and are now in the market. The electric vehicle concept has since then significantly evolved and by now has attained large scale industrialisation. Particularly in Germany, the electric vehicle technology development accelerated towards the 2000s, which can be attributed mainly to the fact that there was increased recognition of the need to decrease global CO2 emissions and Lithium-ion battery technology had already matured. 2009 marked the year that the German electric vehicle market began to emerge. The German government would later announce its plan to hit a million electric cars on German roads by 2020.

The present status of the Germans Electric car market

In the year 2020, the German government sought to boost the development of the electric vehicle market by reinforcing buying incentives as part of the German stimulus package. This policy bore fruits, with one in every 20 cars sold in the country in 2020 being an electric car. Considering the coronavirus’s effects, the country could still sell about 200,000 electric vehicles in 2020, tripling the number of cars sold in just one year. This positive boom also serves to prove the fact that increasingly Germans are opting for electric vehicles.

Below are the reasons that can be attributed to the Boom of electric vehicles in Germany

1.Electric vehicles offer a tax advantage

Traditionally, fleet cars and company cars have significantly accounted for the figures of new cars registered in Germany. On the other hand, recently, electric vehicles have increasingly drawn interest among company car owners because the government imposes lower taxation on these cars. The rates taxed monthly to company car drivers are 1%, but the tax rate is at 0.5% when it comes to electric vehicles.

2.Electric cars are known to have an environmental benefit.

The Federal Government of Germany is advocating for the promotion of electric cars to meet its transports sectors climate targets and ensure that the migration from internal combustion engines is accelerated.

3.Electric vehicles are safe to drive

Just like fuel-powered cars, electric vehicles are taken through thorough testing and fitness procedures. Electric vehicles are made to achieve a lower centre of gravity, thus ensuring they are more stable and safer when on the road. They are also primarily made to ensure the safety of the occupants. Specifically, they are made such that the electricity supply from the batteries cuts off and airbags open up in case of an accident. In addition, given the fact that they don’t use combustible fuels, they are less likely to explode in case of an accident.

4.Reduced noise pollution

Electric vehicles are quieter, which curbs noise pollution. As opposed to the fuel engine, electric motors utilised by electric vehicles can offer higher acceleration and a smooth drive without being noisy.

5.It is much easier to drive electric vehicles

In all vehicle, electric vehicles are the simplest to drive. Commercial electric cars have one long gear and don’t have the stalling problems experienced by petrol cars. Effectively this eliminates the need of having to incorporate a clutch mechanism to avert the stalling. It is thus possible to operate an electric vehicle with just the steering wheel, a brake pedal and an accelerator pedal.

In conclusion, German has one of the best electric vehicle industries in the world. This article helps the reader understand the industry and offers some of the factors that have led to the widespread adoption of electric vehicles in the country.

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