VDA Statement regarding vehicle tax exemption for purely electric vehicles

    VDA Statement regarding vehicle tax exemption for purely electric vehicles

    VDA President Hildegard Müller regarding vehicle tax exemption for purely electric vehicles

    Statement

    Berlin, October 14, 2025

    VDA Präsident Hildegard Müller:

    "It is welcome that the extension of the vehicle tax exemption for purely electric vehicles has now been approved by the Cabinet and that the legislative process is continuing with high priority. Now it's crucial that the extension is approved as planned before the end of this year – so that the tax exemption can continue seamlessly and the planning security promised in the coalition agreement is guaranteed.

    The fact is: If the regulation were to expire, it would result in fully electric vehicles being taxed more heavily than, for example, plug-in hybrids—a clear contradiction that must be avoided in order to prevent uncertainty and buyer reluctance.

    German manufacturers and suppliers have recently impressively demonstrated how strong and innovative the domestic industry is—for example at the IAA MOBILITY. They supply the vehicles needed for the transformation. The mandate for action for Berlin and Brussels is clear: It is now time to create attractive conditions for all climate-friendly technologies in order to achieve the climate targets in transport."

    Press Office

    Benedikt Herzog-Wolbeck

    Spokesperson with focus on economic policy & trade