Monday, 20 July 2026 · EconomyStudy: electric cars significantly cheaper since 2020, combustion engines slightly pricier
A study by the Fraunhofer Institute and the ICCT shows that inflation-adjusted list prices for electric cars have fallen significantly since 2020, while combustion-engine cars have become slightly more expensive. If the trend continues, EVs in Europe could cost as much as comparable combustion cars by 2030.
According to a joint study by the Fraunhofer Institute and the ICCT, the inflation-adjusted list prices of electric cars have shifted markedly downward since 2020, while combustion cars have become slightly more expensive. The authors expect this development to continue; the conservative Die Welt and the business-friendly Handelsblatt highlight that, if the trend holds, EVs in Europe could reach price parity with combustion cars by 2030. The left-liberal Sueddeutsche Zeitung stresses the same finding of a 'clear shift.' The camps report the study largely in agreement but differ in interpretation: for some it proves the success of electric mobility, for others the growing price pressure from Chinese manufacturers. It remains open how strongly falling battery costs and competition from China will push prices further down. The study refers to list prices, not to prices actually paid including discounts and incentives.
Die Welt · Süddeutsche Zeitung · Handelsblatt
Thursday, 16 July 2026 · EconomyChina's EV offensive pressures Western manufacturers
China's EV offensive pressures Western manufacturers
Chinese electric-car groups such as BYD are pushing rapidly into global markets and pressuring Western manufacturers; the US has so far kept BYD out. In Germany, the weakness shows in the fact that the EV subsidy mainly benefits Tesla and Chinese brands, while VW falls behind.
A commentary by Politico describes China's EV groups as a "pirate ship" steering toward Western automakers: only the US has so far kept market leader BYD at bay, but that will not end well unless the West joins forces. The Berliner Zeitung shows the flip side in Germany: the new EV subsidy was meant to strengthen VW and others, yet so far it is mainly Tesla and Chinese brands that benefit, because German electric cars are bought less often. The liberal European and the independent German views complement each other but emphasize different aspects, the West's strategic pressure to act on the one hand, the concrete consumer decision on the other. Chinese perspectives are absent in these two sources, keeping the account one-sidedly Western. The background is the rapid rise of BYD, which sold around 4.6 million vehicles in 2025, and the EU's additional tariffs on EVs built in China. Whether tariffs and subsidies protect the European manufacturers or merely mask their lag remains contested.
Politico Europe · Berliner Zeitung
Forecast · Assessment
●Most likely60%
Chinese manufacturers keep expanding their global market share, and European automakers keep losing ground despite tariffs and subsidies.
▲Worst case20%
A price and displacement war triggers plant closures and a deep drop in employment at European manufacturers.
▼Best case20%
Tariffs, cooperation, and their own affordable models stabilize the Western manufacturers and slow the Chinese advance.
