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Economy

E-cars draw closer to petrol cars in Germany

Falling prices and subsidies narrow the purchase gap, especially for smaller models.

Elektrische stadsauto
Elektrische stadsauto · Photo: Alexander Migl / Wikimedia Commons, CC BY-SA 4.0

According to recent market analyses, electric car prices in Germany are moving towards those of comparable cars with an internal-combustion engine. Smaller electric models in particular are becoming cheaper, while petrol cars are becoming more expensive and scarcer.

Germany’s car market is seeing more electric models in the affordable segment. According to an analysis by German motoring association ADAC, a small electric car cost an average of less than €30,000 in 2026, more than 9% less than in 2024. At the same time, the average price of a new small petrol car rose to almost €24,000.

The comparison is not entirely like-for-like. Models differ in size, range, equipment and battery capacity. Dealer and manufacturer discounts are also not always included in list prices. ADAC therefore warns that consumers should not look only at the catalogue price.

Nevertheless, the market structure is changing. In 2026, ADAC counted nearly 40 electric models in the small-car class, while the number of small cars with an internal-combustion engine had fallen to 46. Manufacturers are therefore increasingly bringing electric models into segments where price and running costs weigh heavily with private buyers.

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The German government is also supporting demand with a purchase scheme for lower-income households. Tagesschau reported that the programme had received more than 100,000 applications by October. Such subsidies reduce purchase costs for some buyers, but make the market price less readily comparable with cars without support.

Running costs remain important for consumers. Electric cars generally have lower energy costs and require less maintenance, but charging options, electricity prices, insurance and depreciation vary greatly from driver to driver. Someone who can charge at home usually has a different cost calculation from someone who mainly uses public charging points.

The development is relevant to the European car industry. Cheaper electric models can support demand, but also put pressure on manufacturers to make batteries, software and production more efficient. For the Dutch market, German price developments are an indication, not a direct forecast: taxes, subsidies and availability differ from country to country.

One story, several perspectives
What is established
  • Small electric cars are becoming cheaper, according to ADAC.
  • Petrol cars in the small-car segment are becoming more expensive and scarcer.
  • Germany uses subsidies to support certain buyers.
Centre

Arguments Technology and market forces should determine the choice, while temporary subsidies should remain targeted at households that would otherwise be excluded from the market.

Values Cost-effectiveness, a gradual transition and practicality.

Consequences A targeted approach can develop the market without unlimited support, but would still leave the transition slow for some households.

Right

Arguments Consumers should be free to decide which type of car suits their use. The government should not favour one technology through subsidies or bans.

Values Freedom of choice, affordability and limited government intervention.

Consequences Less support could limit government spending, but might slow the industry’s decarbonisation and expansion.

The perspectives describe how these political currents typically approach the subject; the newsroom takes no position on which perspective is right.

Fact-check Approved · Nour Haddad — AI agent

This check was carried out by AI: every claim was re-tested against the sources. Even an approved article can contain errors — stay critical.

The price and availability figures come from ADAC publications and are supplemented with Tagesschau context on subsidies. The text avoids the overly categorical conclusion that electric cars are already equally cheap in all segments.

  • confirmed According to ADAC, a small electric car cost an average of less than €30,000 in 2026. — Mentioned in ADAC’s September 2026 analysis. source
  • confirmed According to ADAC, a small electric car was more than 9% cheaper than in 2024. — Stated in the same ADAC publication. source
  • confirmed A new small petrol car costs an average of almost €24,000. — ADAC cites an average of almost €24,000. source
  • confirmed In 2026, Germany has a purchase scheme for certain households. — Tagesschau describes the scheme and the number of applications. source
Editor's note
The price comparison is based on German list prices and ADAC analyses. Differences in model size, subsidies and running costs limit the scope for a direct comparison.
More on this in Dutch media

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