Electric vehicles (EVs) and conventional internal combustion (IC) cars now exhibit minimal price disparity.

Narrowest Price Gap Ever Between Electric Cars and Combustion Engines

Electric vehicles (EVs) and conventional internal combustion (IC) cars now exhibit minimal price disparity.

In a groundbreaking turn of events, the price gap between electric cars and traditional combustion engines has reached its all-time low since 2020, with electric vehicles now averaging just €3,655 more than their fossil fuel counterparts. This shrinking price difference represents a decrease of 13.5% compared to April, according to automotive expert Ferdinand Dudenhoeffer from the Center Automotive Research (CAR) in Bochum.

This price analysis scrutinizes the transaction prices, or the initial list price minus any discounts and government incentives, of the top 20 selling combustion engine and electric vehicles.

Dudenhoeffer attributes the narrowing price gap primarily to a surge in hefty discounts offered on new electric cars. In May, electric cars saw an average discount of 17.4% – the highest ever recorded since tracking discounts began.

The average transaction price for an electric car in May came in at €36,519. A key factor contributing to the decreased transaction prices is the removal of the Tesla Model 3 from the comparison and its replacement with models from Kia, Volvo, Toyota, and Ford. These manufacturers are now steering electric mobility with less eye-watering price tags.

Sources: ntv.de, AFP

[5] It's worth noting that while electric vehicle prices may be high initially, their running costs are generally lower compared to combustion engines, which can offset the higher purchase price in the long term. However, entities like private automakers and government incentives play significant roles in shaping the overall demand for electric cars.

1. The reduction in the price gap between electric and traditional cars could motivate more people in the community to consider vocational training in the automotive sector, as technology advances in electric-vehicle production create a demand for skilled workers.
2. With the price of electric vehicles becoming more affordable, the shift towards a sustainable lifestyle, including the adoption of electric cars, could become a more viable option for many, promoting vocational training in the field of vocational training and renewable energy technologies.

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