EV Makers To Compensate As German Govt. Cuts Subsidy Program

(RTTNews) - EV manufacturers, including Tesla (TSLA), Mercedes-Benz, Volkswagen, and Stellantis, have decided to provide full subsidy, after the German government declared its decision to terminate the subsidy program for electric vehicles on December 31, citing budget cuts.

Under this subsidy, customers were entitled to a total of 6,750 euros for the purchase of an electric vehicle, with the state contributing 4,500 euros and the car manufacturer contributing 2,250 euros.

In response to this announcement, car manufacturers Mercedes-Benz, Stellantis, Tesla, and Volkswagen have declared their commitment to providing the full subsidy.

Volkswagen said that it will provide full subsidy for orders on all electric ID placed before December 15.

Tesla also said that it will provide full subsidy for new Model 3/Y orders from December 18, for vehicles to be delivered before December 31.

Mercedes-Benz stated that it will compensate the subsidy for vehicles delivered between December 18 and 31.

Stellantis said that it will contribute full subsidy till December 31, and then will contribute a reduced subsidy for vehicles to be registered by February 29, 2024.