German dealers warn: “We have run out of electric cars”

Strong subsidies have led to an electric car boom in Germany. At the same time, manufacturers are struggling with problems in their supply chains.

The craving for electric cars is great among German car buyers. So large that the country’s car dealers are now sounding the alarm that their stock is not enough, the industry magazine reports Automotive News.

New registrations of electric cars in Germany tripled in 2020 to 194,163, according to figures from the German Transport Board KBA. This corresponds to a market share of 6.7 percent.

Volkswagen ID.3 was at the top together with Renault Zoe and Tesla Model. The increase also continued in January, when electric car volumes more than doubled compared with January 2020.

“This not only started with the increase in subsidies due to the pandemic, but rather the problems started when the state subsidies were increased in February last year”, says Thomas Peckruhn, head of the dealership association ZDK, to Automotive News.

The pandemic has, however affected the supply, he says. Deliveries of electric cars such as Volkswagen ID.3 must have been delayed for several weeks and the cars “could not be delivered to us in the volumes we would have liked.

In fact, there is currently a crisis in the car industry that has major production problems due to a shortage of computer chips. This is especially inconvenient for car dealers around the world; March and April are usually their strongest months, notes Automotive News.

In addition, risks the money for the country’s juicy electric car premium of SEK 90,000 to run out. Recently, the subsidy for electric cars in Germany was extended until the end of 2025. At the same time, the fixed amount previously set aside for the subsidies has not been increased and it can thus now end before then.

ZDK is said to have stated that their 36,580 members are currently making large investments despite Germany’s tough economic situation. Traders’ profit margins should average 1.2 percent in the country, far from their target of 3 percent.

ZDK denies also all the speculation that the dealers ordered too few electric cars on purpose because they have poorer profit margins on them and because electric cars need less service than combustion cars.

– Even if the latest diesels are really on a par with electric cars, it is not true that we have invested in the internal combustion engine. We have had a neutral attitude when it comes to technology because it is the customer who ultimately decides what wins, says Juergen Karpinski, CEO of ZDK, to Automotive News.

I think it’s because of the production problems.

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Source: Senaste nytt från auto motor & sport by www.mestmotor.se.

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