New German EV Registrations Shot Up in 2021

83 percent – that was the increase in registrations of new purely electrical vehicles in Germany last year according to the annual figures released by Federal Motor Transport Authority (KBA). 355,961 new electric vehicles were registered in 2021, that increased their share of registrations to a record 13.6 percent. Part of that jump is due to automakers prioritizing EVs over conventionally powered vehicles.

Plug-in hybrids were also popular, with registrations up 43 percent over 2020 and total share amounting to 29 percent. By contrast, registrations of conventional gasoline and diesel cars fell by 29 and 36 percent respectively.

The numbers for EVs come as the automotive industry in general has struggled with supply-chain disruptions, affecting deliveries of semiconductors and other components. One major factor in the success of EVs has been state incentives.

“The explanation is relatively simple,” said Germany Trade & Invest (GTAI) automotive expert Stefan Di Bitonto in November. “Carmakers decide what sort of vehicles they allocate parts like semiconductors to. The profit margins for electric vehicles are currently quite high. That’s because the German state subsidizes the purchase of EVs with up to EUR 6000. Additionally dealers offer a EUR 3000 rebate, which is making buyers think that now is the right time to purchase a car. So it makes sense to put semiconductors in EVs. Everyone all around is profiting.”

The KBA also reported that that average per-kilometer CO2 emissions for new cars declined by 15 percent in 2021.