Hidden Electric Car Shortages Revealed Through Approval Processes in Vehicle Trade Between Producers and Dealers - Manufacturers and dealers within the automotive industry now have the authority to self-certify the safety and functionality of electric car horns.
In a recent survey, the German Association of the Automotive Industry (ZDK) revealed that a significant number of car dealers are pessimistic about electric car sales prospects for the second half of 2025. The survey, which polled around 500 car dealerships and motor vehicle businesses, found that 44 percent of all respondents share this sentiment.
The pessimism is rooted in a challenging overall market environment. Despite a surge in electric vehicle (EV) registrations—up 44.9% in June 2025 and 58% in July 2025—the total passenger car market remains down year-over-year by 4.7% for the first half of 2025. Gasoline and diesel vehicle sales continue to decline sharply.
Thomas Peckruhn, President of the ZDK, expressed concern about the situation. He urged politics to promote electric cars, suggesting a reduction in electricity tax and network charges for all consumers. However, Peckruhn did not mention any specific discounts on self-approved electric vehicles in the current context.
Peckruhn attributes the increase in self-approvals to persistent political uncertainty regarding e-mobility and customer caution in economically uncertain times. Manufacturers, importers, or dealers can approve vehicles themselves for sales statistics or target achievements. These self-approved cars are often sold at high discounts and classified as new registrations or demonstration vehicles.
The ZDK President also criticized the current coalition's measures as insufficient and one-sidedly focused on high-priced electric company cars. He did not mention any specific political uncertainty regarding e-mobility in the current paragraph.
The number of self-approved battery electric vehicles by manufacturers and dealers increased more than double compared to the same period in 2023, totaling 65,401 vehicles in the first half of 2025. The self-approvals of the manufacturers specifically quadrupled in two years. However, Peckruhn did not mention any specific increase or decrease in the number of self-approved electric vehicles in the current paragraph.
The pessimism among larger businesses with more than 50 employees is higher at 54 percent, while medium-sized businesses have 44 percent, and smaller businesses with up to 15 employees have 38 percent.
Industry-specific challenges add to the dealers' uncertainty. For instance, automakers like Audi are facing headwinds such as restructuring efforts, tariffs, and regional competition which weigh on profitability and cause dealers to anticipate tighter inventories and more cautious sales strategies in the near term. These macroeconomic and industry-specific challenges mean dealers are uncertain whether the current growth in EV approvals will translate into sustained sales momentum in the face of these headwinds, especially in the second half of 2025 when global and regional market dynamics may become less favourable.
In summary, the rising number of self-approved electric vehicles does not seem to alleviate the pessimism among German car dealers. The contrast between the growth in EV approvals and a challenging overall market environment marked by economic factors, competitive pressures, and industry restructuring, dampens confidence in sustained strong sales for the second half of 2025 despite the promising increase in EV registrations. Peckruhn's calls for political action to promote electric cars underscore the urgency of addressing these challenges to secure a sustainable future for the industry.
[1] Source: German Association of the Automotive Industry (ZDK) [2] Source: Audi AG financial reports [3] Source: International Energy Agency (IEA) Global EV Outlook 2025 [4] Source: US Department of Energy EV Sales Report 2025
- The uncertainty among German car dealers is not solely attributed to the rise in self-approved electric vehicles, but also due to finance-related factors such as restructuring efforts, tariffs, and regional competition that impact profitability, leading to tighter inventories and conservative sales strategies.
- In response to the challenging market conditions for electric car sales, the President of the German Association of the Automotive Industry (ZDK), Thomas Peckruhn, has proposed technology-driven solutions like a reduction in electricity tax and network charges for all consumers to foster electric vehicle adoption, potentially enhancing the vocational training and general-news landscape for the industry.
