By 2030, electric will cost the same as gasoline car

German report points out that electric cars should match prices to gasoline models before 2030, with scale production and dispute between automakers

A recent automotive report indicates that electric cars (EVs) and combustion powered (ICEVs) should reach price parity in Germany before 2030. The difference, which has been abysmal, has been decreasing year after year, driven by technological advances, larger scale of production and fierce competition between automakers.

According to the semiannual study of the Car-Center Automotive Researchby BOCHUM, shared with the press on Friday, currently, electric cars cost, on average, 3,935 euros than gasoline or diesel models in the German market.

The difference, however, is much smaller than in 2008when the first EVs arrived in the country and were 15 thousand euros more expensive that traditional vehicles.

Among the factors that explain this reduction are:

• Economy of scale (higher volume production reduces costs);
• Price war Among the brands, which seek to attract consumers;
• More efficient technologieswhich cheapen the manufacture of batteries and components.

Recovery market, with high sales of electricity

The report also pointed out that average vehicle prices in Germany had a Light discharge in Junesign that sales are recovering.

Data from German Automotive Industry Association show that in Mayas new car enrollment climbed 1% compared to the same period of 2023, totaling 239,297 units.

Already the electric vehicles registered even more expressive growth:

• 56% in sales in May (compared to the same month of last year);
• 47% increase in the first five months of 2024.

Price is still a barrier, but scenario is changing

The cost difference between electric and gasoline models has always been one of main obstacles for the mass adoption of EVs in Germany. However, with the trend of falling prices and increased demand, experts believe that, Until 2030the values ​​should match – making cars electric option an even more viable option for the German consumer.

Meanwhile, the automakers continue to invest in new models, recharge infrastructure and government incentives to accelerate the energy transition in the automotive sector.