Wednesday, February 12, 2025

New electric cars can be wildly cheap in Denmark from 1 January

A major price war among car brands is about to break out in just four months. New rules force car manufacturers to quintuple their range of electric cars.

In just four months, the price of brand new electric cars can come crashing down in Denmark.

From 1 January 2025, new rules will come into force in the EU, forcing the car brands to quintuple their electric car programme.

The new CO2 quota system is cut from 116 grams per short kilometer to just 93.6 grams per kilometer. When the car manufacturers are not there, they stand at hefty stalls. Read more about it here .

That leaves pretty much only one way. Namely, far more electric cars. For some car brands, this is a fivefold increase. But at the same time, it is completely unrealistic that several of the car brands get there.

READ ALSO: The police will be allowed to impound cars that make noise

– It is unrealistic that Volkswagen can achieve its goals on its own, says Patrick Hummel, head of European Autos Research at the major bank UBS, to Automobilwoche.

Volkswagen is therefore looking into an immediate future where the car brand must hand over 95 euros, equivalent to DKK 708, for every single gram that their cars on average exceed the CO2 limit. Unless the group sells a lot of electric cars.

For example in Denmark. Therefore, a price war can also break out, where the car brands try to undercut each other, just to get a few more electric cars on the street. It will look good in the statistics that must be submitted to the EU.

– The Volkswagen group and especially Ford must expect high stalls in light of their cars, says Stefan Reindl, head of the Institute for Automotive Economics, to Automobilwoche .

How cheap the electric cars can become depends on the Danish registration tax. The tax, which is now 100 years old, is also planned to increase on electric cars. And that actually until 2035 when there will again be a 150 percent tax on all cars in Denmark.

However, motorists are also forced to pay more in other taxes. For example, the diesel tax increases already on 1 January, and even vintage cars become much more expensive to own. Read more about it here .

Read more exciting news from and about the world of cars right here!

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