How a rapid transformation to electromobility can still succeed in Germany and why

The 2021 25 coalition agreement signed by the SPD, Greens, and FDP identifies this target as an important means of achieving climate goals in the transport sector while also preserving domestic jobs and manufacturing.1 The current BEV expansion target represents a considerable increase in ambition over of having 1 million electric vehicles on the road by 2020.2 The research is clear: BEVs emit sig. [...] The broad-based adoption of electric vehicles is considered the most effective means of reducing emissions in the transport sector up to the end of this decade.4 Nevertheless, electric vehicles remain few and far between on German roads. [...] Expanding the Chinese presence in the German market has the potential to increase the number of BEVs on the road by 1.5 million units up to 2030. [...] The localization of Chinese BEV production in the European Union could increase the share of German value added from 1% to 16%; by contrast, if Chinese manufacturers were to produce in Germany, the share of German value added could rise to 35%. [...] For clearly, impeding Chinese access to the European market would allow Chinese manufacturers to expand their competitive edge in the area of electric vehicles to the detriment of both Germany and Europe.