Germany’s EV market slumps for first time

  • last month
Fewer new EVs are likely to be registered in Germany this year because of a lack of charging infrastructure and the phase-out of generous subsidies. Nevertheless, the long-term outlook for e-mobility remains positive.

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00:00Electric vehicles, or EVs, promise cleaner energy, lower emissions, and a move away from fossil fuels.
00:08The enthusiasm for the new technologies led to long waiting times as demand outstripped supply.
00:15After the initial euphoria, the question is now what happens next.
00:19Although the number of EVs has risen rapidly in recent years, their share on the roads is still low.
00:25In 2023 they made up 40 million out of almost 1.5 billion cars worldwide.
00:31Why is that?
00:34The entire EV market, especially in Europe, is still in its infancy.
00:41However, EVs are now being massively promoted.
00:44Due to their high development costs, which of course still have to be paid off,
00:49the acquisition costs are sometimes higher than for combustion engines.
00:56And it's precisely the price that puts many customers off.
00:59What's more, state subsidies are slowly being phased out.
01:03Also in Germany, which is reflected in the number of new registrations.
01:07So far, more EVs have been registered every year.
01:10Growth has been constant.
01:12But according to forecasts, they are set to fall for the first time in 2024 by just under 14%.
01:19In Europe or in Germany, we're seeing again and again that planning for EVs is being scaled back or slowed down.
01:28Of course, this is also related to the current slowdown in sales.
01:34You don't want to park them in your yard.
01:38The VW Group also wants to avoid stockpiling its production
01:43and is cutting back production at its first EV factory in Spickau.
01:50We were the lighthouse.
01:52Now we've gone from being an important lighthouse to an important seismograph.
01:58The plant in Spickau has been an all-electric car factory since 2020.
02:04The conversion has cost the group 1.2 billion euros.
02:10The sales situation is difficult at the moment, as the market is unsettled.
02:15What's that doing to the plant?
02:17Of course, we're noticing a decline in demand and have to react.
02:21Technically, we're in a position to build 360,000 units a year.
02:25We are currently at an output of around 240,000, like last year.
02:31This means that 33% fewer cars leave the factory and an entire shift has been eliminated.
02:38Uncertainty is spreading among employees.
02:46Anyone who has ever run a marathon knows there are phases when things go wonderfully, but sometimes it hurts.
02:53It's crucial to maintain your willpower and focus and say, we can do it.
02:58I can do it. I can get involved and move the location and the industry forward.
03:06Everyone at this location is therefore hoping that the market will recover quickly.
03:12If confidence in the technology continues to grow,
03:15then I believe that things will pick up and production can be ramped up again.
03:20The technology is constantly evolving. Ranges are increasing.
03:24Electro-mobility is here to stay.

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