A desperate move on the part of the European public authorities such as Germany to lower or terminate some EV incentives is being sorely felt by the market players. The swift adoption of battery electric vehicles (BEVs) that was observed a while ago is toppling, hopefully exposing a series of crash-out of all market players together with the consumer.
In order to increase the market penetration of EVs, government assistance has been used to reduce the prices that consumers have to pay. Still, the reductions on rebates on electric vehicles will push potential EV owners towards high producing conventional cars. For instance, in Germany, the implementation of the policy to reduce subsidies influenced the level of electric vehicles prices, so that reduction of demand followed.
To counter this, such carmakers have begun to offer incentives on their own. In case of offers in the form of discounts, extended guarantees or different convenient payment plans have also been implemented in the meantime by the producers. These activities, on the one hand, are expected to alleviate the financial burden, while on the other hand, enhancement is expected to occur so that BEVs become more captivating to the bodies that consider cost.
Despite these efforts, there are various issues that need to be addressed. Most important of them are the high purchase prices and worries over depiction of BEVs herein. It is not that there is no secondhand market for BEVs as opposed to the traditional internal combustion engine cars. Such concerns make buyers feel cautious about buying these products. Moreover, the perception about the EV incentives being relegated for rapid technological obscurity also serves as an inflection point where some potential consumers may start thinking otherwise.
It is clear that each part of the EV market in every aspect must be stimulated to continue developing the sector. Manufacturers should offer beneficial offers, enhance battery manufacturing and infrastructure establishment, and introduce and promote schemes which denominating consumers on how they will save huge sum of money over a long term use.