What will be the final outcome of the Sino-European electric vehicle hegemony?Perhaps the end was already predestined.
Electric vehicles are an emerging industry, and they need strong support to develop. Now halfway through the development, some countries are starting to retreat. That country is Germany.
From the 18th of this month, Germany will end the electric vehicle subsidy program. According to the original plan, Germany's subsidies for electric vehicles will continue until the end of 2024.
The reason given by Germany ** is: there is no money. But is there really no money in Germany?Recently, German Chancellor Olaf Scholz announced the 2024 budget, announcing that he will slash climate and transition** by 12 billion euros, but at the same time set aside 8 billion euros for direct military and financial assistance for Ermao, and provide an additional 6 billion euros for Ermao refugees.
In other words, Germany took the money that should have been subsidized to electric vehicles and used it to aid two cents.
Hungary had already intervened before that. Hungary believes that the EU should reconsider reverting to a stricter fiscal policy and allowing higher subsidies for the electric vehicle industry in response to stiff competition from the United States and China.
Hungarian Minister of Economic Development Nagy Marton stressed that EU countries such as Germany are facing competitive pressure from the electric vehicle economy supported by the United States and China. Currently, Hungary is an important supplier of components to German car manufacturers.
Politically, as a member of the European Union, Hungary has also been firmly opposed to Ermao's entry into the European Union, and vetoed the EU's 50 billion euro aid plan for Ukraine.
Hungary must have done this because of the new energy industry chain it has spent a lot of money on, but it has also indirectly helped the new energy transformation of German Volkswagen, BBA and other car companies.
These German car companies have spent a lot of money on new energy. Volkswagen, BMW and other German car companies were the first to stand up against the EU's countervailing investigation of Chinese electric vehicles, fearing that China's possible reaction to the investigation could damage their own rights and interests in the electric vehicle business.
But it is very stupid for Germany to insist on going its own way, ignoring the voices of its own enterprises and Hungary, choosing to end the subsidy for electric vehicles ahead of schedule, and investing money in the endless war.
You must know that the current economic decline and financial deterioration in Germany are closely related to the energy crisis and raw materials brought about by the war between Da Mao and Ermao.
In addition, regarding the development of the electric vehicle industry, the current stage is the opportunity to not lose, the loss of the "horse race" stage, China is vigorously developing, again and again delaying the subsidy time, creating a good market competition atmosphere, Germany has ended the subsidy ahead of schedule, some analysts said that this will lead to "the competitiveness of car manufacturers will be seriously damaged".
Previously, Germany had announced a long-term plan to keep 15 million electric vehicles by 2030, but now that the subsidy has been terminated for a year, this plan is likely to be unrealized.
Putting aside the ambitious goal of carbon neutrality for the time being, realistically speaking, it is likely to make the strategic formulation and financial plans of German car companies go back and forth.
Because everyone knows that the bottomless pit of Ermao does not know how long to fill, if Ermao is not filled, will Germany's electric vehicles not develop?With such twists and turns, the future of the German electric vehicle industry is suddenly unclear. The competitiveness of German automakers will also decline.