Overview
- CAR data show that after the BAFA portal opened in May, average dealer discounts on the 20 best-selling EVs fell from 19.5% in January to 18.6% in May, widening the average EV–combustion price gap to €1,971.
- The cuts are concentrated on lower-priced volume models such as BYD, Cupra, Hyundai, Opel and Kia, and Tesla stopped its €3,000 Model Y dealer subsidy in May, while many German premium brands have largely kept higher discounts.
- The federal subsidy ranges from €1,500 to €6,000 and is means-tested and household-dependent, the program is funded with roughly €3 billion and applications to BAFA have been possible only since May 2026.
- Public charging has expanded to 200,255 points with 51,253 fast chargers as of April 1, 2026, but coverage is uneven and about one third of municipalities lack any public charger, leaving apartment dwellers and renters with limited access.
- Experts warn that manufacturers appear to be testing how much buyers will pay, which could make it hard to return to earlier price gaps after the subsidy ends and risk shifting economic gains away from German-made premium models.