EV market development

In December 2025, battery electric vehicles (BEVs) accounted for 22.2% of new car registrations. This was 63% higher than in December of the previous year. However, the electric-vehicle share did not rise in the final phase of 2025, as observed in prior years. Consumer hesitancy could be the cause, as a new purchase rebates were announced for the start of 2026. 

BEVs accounted for 19.1% of new car registrations in 2025 overall. This means that approximately one-fifth of newly registered cars were EVs. Furthermore, month-to-month registration figures in 2025 consistently and considerably exceeded that of 2024. This demonstrates the effectiveness of European CO₂ fleet limits, which were tightened in 2025.

Despite the observed increase in EV registrations, the switch to electric mobility is not proceeding rapidly enough for Germany to play a leading role in the markets of the future or for the transport sector to move effectively towards climate neutrality. Greater momentum is needed; at least every second new car sold in 2027 should be an all-electric vehicle. 

By pursuing a coherent overall strategy, the German government can help to accelerate the transition to electric mobility. 

Policy recommendations from Agora Verkehrswende include:

• Bring affordable EVs to the mass market and rapidly introduce consumer incentives that are differentiated based on personal income levels (e.g. preferential purchase, leasing, or loan-financing conditions). These incentives should also apply to used EVs.
• Strengthen competition in the market for public charging stations and enable bidirectional charging.
• Reform company-car taxation rules by increasing the flat rate for combustion-engine vehicles from 1% to 1.5% of the list price.
• Create a reliable foundation for household and business planning by maintaining ambitious CO₂ fleet limits beyond current time horizons and by ensuring the orderly introduction of EU emissions trading that covers road transport fuels (as a replacement for Germany’s national CO₂-based fuel pricing system).

For details about the total cost of ownership (TCO) of electric vehicles compared to their combustion-engine counterparts, please see our analysis Policy Levers for Affordable EVs, which offers recommendations for enhancing market and regulatory conditions.

For more on EV purchase incentives that balance the needs of the economy, society, and the climate, see our German-language discussion paper Bezahlbare Elektroautos in die Breite bringen.

Notes on the older graphics:

In addition to the current sales figures for the past month, you find a few more graphics from recent months and years above.