Interested car buyers are now flocking to virtual showrooms in Germany and France to sign themselves up for an electric vehicle (EV) ownership experience thanks to the newly-introduced EV incentives.
The generous subsidies introduced by the respective governments have rendered EVs practically free! A brand-new electric vehicle now goes for less than the typical cost of a mobile phone contract.
According to BloombergNEF, these purchase subsidies on EVs are now among the most favourable in the world, so, understandably, there is a sudden burst of sales on EVs.
The automotive industries in Germany and France are one of the major sources of employment and economic activity in the respective countries.
Unfortunately for both countries, car sales are recovering more slowly in Europe than in China and America following the coronavirus pandemic standstill.
This has forced the national government to react quickly to soften the blow to the badly-affected car sector.
France has increased its EV subsidies to as much as 7,000 euros per car for the remainder of 2020. Germany, meanwhile, introduced subsidies of as much as 9,000 euros per EV.
These subsidies have boosted sales for all EV car sales websites and even physical showrooms. Several online showrooms have even reported that they are experiencing such overwhelming support that not even their large number of staff could handle.
In France, sales of the Renault Zoe EV are set to double this year, as customers can lease the Zoe from 79 euros a month.
The new EV incentives in Europe are proving to be the nudge Europeans need to buy into the EV market. The EU is pushing toward decarbonising transport for years and the coronavirus crisis has allowed them to accelerate the process.
Source: Bloomberg Green