For months, Volkswagen has been threatening to close factories in Germany as it hunts for ways to slash costs and sure up its finances. However, the company’s supervisory board is now pondering the possibility of keeping them open in news that’ll no doubt be welcomed by employees and local labor unions.

If VW closed plants in Germany, it would mark the first time in the company’s history that such drastic measures have been taken. The company is facing increased competition from new brands entering the European market, in particular Chinese automakers, and according to VW brand boss Thomas Schäfer, the situation “cannot be resolved through simply cost-cutting measures.” For the past three months, unions and VW have been at loggerheads about what measures are necessary to slash costs.

Read: VW Workers Strike At 9 Plants Over Proposed 10% Pay Cuts And Closures

According to German publication Manager Magazin, VW board members had been looking to end production at the firm’s Dresden plant, which currently employs 300 people. They have also investigated selling the Osnabrueck factory, which has a 2,300-strong workforce. However, unnamed sources now claim the board favors not closing these plants and has not yet lined up a potential buyer for the Osnabrueck site.

The future of the plants is not guaranteed at this stage as there’s still said to be disagreement among some board members. Reuters understands that the Piech and Porsche families favor more aggressive cost-cutting measures.

The Osnabrueck factory currently handles production of the Porsche Cayman, Boxster, and T-Roc Cabrio. While it has an annual capacity of up to 100,000 units, just 28,000 vehicles were manufactured there last year. Production of the T-Roc Cabriolet is also scheduled to end next year, and Porsche is shifting production of the Cayman and Boxster to its site in Zuffenhausen. VW’s Dresden site currently builds the ID.3.

At the start of December, almost 100,000 VW workers across Germany walked off their jobs to protest the extreme cost-cutting measures proposed. The IG Metall union has offered to forgo bonuses for 2025 and 2026 and has also proposed using money from wage increases to finance temporary reduced working hours during times of overcapacity. It says these measures could deliver €1.5 billion ($1.6 billion) in cost savings.

In a significant legal ruling, a Norwegian court has ordered Tesla to pay a former employee more than €10,000 (equal to $10,500 at current exchange rates) in damages and cover upwards of €170,000 ($178,000) in legal fees after finding the company had violated his rights as a whistleblower.

The case stems from the actions of Lukasz Krupski, a former service technician at Tesla’s plant in Drammen, Norway. Krupski had provided more than 100 gigabytes of data to German publication Handelsblatt, revealing security flaws and a series of data protection problems. It included information related to problems with the Autopilot system and Tesla’s struggles to bring the Cybertruck to the market.

His leak also revealed that private information about Tesla customers and employees was publicly available, as were contracts with business partners, design plans, and confidential presentations.

Read: Fired Tesla Technician Turns From Company Hero To Enemy Number 1

Six days after the data was made public, Tesla’s reaction was swift and aggressive. At the company’s behest, Norwegian authorities raided Krupski’s apartment, seizing his computer, phone, and storage devices. Tesla quickly branded him a “disgruntled former employee.” In retaliation, Krupski filed a lawsuit against Tesla, seeking compensation for lost wages, emotional distress, and the unlawful treatment he endured.

Court Rules in Favor of the Whistleblower

Earlier this week, the Norwegian District Court of Buskerud ruled in favor of the whistleblower, the Handelsblatt reports, confirming that he is entitled to compensation, although he won’t get the full €250,000 (~$262,000) that he had been seeking.

“A Victory for Transparency”

Despite the partial financial settlement, Krupski viewed the court’s ruling as a personal victory. “Tesla made my life hell after I raised concerns about serious safety issues within the company,” he said. “I tried to act in good faith, but instead I was faced with retaliation, demotion and isolation. Even if I didn’t get everything I had hoped for, this decision is an important victory for transparency. Now I want to concentrate on looking forward and rebuilding my life.”

Before becoming Tesla’s enemy number one, Krupski had been recognized by none other than Elon Musk. In March 2019, while helping deliver new vehicles to customers in Norway, Krupski saved the day by disconnecting a modified charger from under a Model 3 that had caught fire, preventing a potentially devastating blaze.

Musk emailed him directly saying “Congratulations for saving the day,” but when Krupski replied back expressing safety concerns, he started to draw the ire of his superiors, who claimed he no longer had a future at the automaker. He was fired in 2022 over accusations of poor time management and of being a bad influence on other staff, but also for taking photographs on-site, which is against company policy.

After years of speculation, new reports from Japan suggest that Subaru’s electric crossover, the Solterra, could finally get the long-rumored STI version next year. Set to coincide with the mid-lifecycle update of the electric crossover, this performance-focused variant could come with several upgrades, though it’s more likely to focus on handling than sheer horsepower.

STI Concept, But No Performance Promises

The idea of a performance Solterra isn’t purely wishful thinking. Subaru unveiled an STI concept alongside the supercar-like STI E-RA study at the 2022 Tokyo Auto Salon, though it withheld details on specifications. At the time, rumors swirled that the production model would hit the market by the summer of 2024. But as the months went by with no STI news, that timeline began to look increasingly optimistic.

Fast forward to today, and Japanese outlet Best Car is back with new information, reheating those old rumors with a fresh twist. The publication now claims that the performance-focused Solterra will arrive in 2025, as part of a facelift that will focus on improving the EV’s e-TNGA underpinnings.

More: Toyota And Subaru’s Next Joint Electric SUV Coming In 2026

While the new STI trim is expected to maintain the same dual electric motors, power and torque are likely to get a boost through software tuning. Even if a significant horsepower increase seems unlikely, the report suggests that Subaru is prioritizing improvements to the Solterra STI’s handling. The goal appears to be a more engaging driving experience, complemented by sportier design elements—think a sharper body kit and wheels that echo the concept’s flair. At the very least, the Solterra STI should look the part, even if it doesn’t fully meet performance expectations.

Could Toyota’s bZ4x Get The Same Treatment?

The Subaru’s electric twin, the Toyota bZ4x, is also expected to undergo a facelift in 2025, making us wonder if it could get a similarly sporty trim borrowing cues from the GR Sport concept from 2022. A few years ago, the bZ lineup’s chief engineer mentioned discussions with Gazoo Racing about a more powerful bZ4x, though the specifics were never disclosed.

Did You Know About The Solterra STe?

If you’re tired of waiting for a Solterra with the Subaru Tecnica International emblem, there is an alternative, though it appears to be available only in the German market. The Solterra STe was actually unveiled in November 2023, but for some reason, it flew under the radar of most automotive media.

The sportiest Solterra yet swaps out the usual plastic cladding for body-colored panels and rolls on 20-inch black alloy wheels, giving it a more aggressive, road-hugging appearance. Other highlights include the STe emblems on the exterior and the custom floor mats. However, the fancier looks are not backed up by any performance upgrades under the skin, meaning the Solterra STe still relies on the stock AWD powertrain, delivering a modest 215 hp (160 kW / 218 PS). That’s hardly what you’d call a powerhouse in today’s electric SUV market.

More: Is This Our First Look At The 2026 Toyota RAV4?

The STe package is available as a €3,500 ($3,700) option for the high-spec Platinum and Platinum Plus trims of the Solterra. The latter is priced at €53,890, meaning that a full-spec Soltera STe costs an eye-watering €57,390 ($60,400) in Germany.

For comparison, a quick browse on Tesla’s website reveals that a new Model Y Performance can be had for as little as €54,970 ($57,900) in the same market. The Tesla delivers more than double the power of the Subaru, with 527 hp (393 kW / 534 PS) on tap, along with a longer WLTP range of 514 km (319 miles). The difference in performance and pricing explains why you don’t see many Soltera STes cruising on German roads.

The German automotive industry is facing difficult times, caught in a storm of strikes, internal tensions at the Volkswagen Group, cost-cutting measures at Mercedes, Ford and BMW, and shifting market dynamics putting pressure on all brands. While the new vehicle market managed to hold its ground in November with 244,544 passenger car sales—a slight 0.5% dip compared to the previous year—the real drama is unfolding in the EV sector, where sales have taken another hit.

EVs Struggle in Germany’s Post-Subsidy World

The numbers don’t lie: EVs are in deep trouble in Europe’s largest market. According to figures released by the country’s Federal Motor Transport Authority (Kraftfahrt-Bundesamt – KBA), November didn’t bring any relief, with EV sales plunging by 22% year-over-year. A total of 35,167 new electric vehicles were registered that month, accounting for 14.4% of all new registrations. While that’s still a decent share, it looks like they’ll struggle to meet the ambitious targets set just a few years ago.

More: Ford EV Sales Surge 21%, But F-150 Lightning Falls 17%, ICE Mustang Crashes 45%

Much of the current slump can be traced back to the German government’s decision to end subsidies for electric cars at the end of 2023. At the time, Transport Minister Volker Wissing argued that the EV market should be able to stand on its own without public aid, claiming that permanent subsidies aren’t a sustainable solution. It seems, however, the market isn’t quite ready to walk unaided. As Germany grapples with its EV slowdown, eyes will turn to other major European markets, like France and Spain, where similar subsidy cuts are on the horizon for 2025. Will they see the same fate?

Hybrids Keep the Flame Alive

If EVs are sputtering, hybrids are thriving in Germany. In November, 94,554 hybrid vehicles found new homes, marking an impressive 20.3% increase from the same month last year. Of these, 20,604 were plug-in hybrids, showing a 13.7% uptick. Hybrids now account for a solid 38.7% of all new registrations, proving that consumers are still drawn to greener options, but perhaps with a foot in both worlds.

More: America’s Best-Selling EVs In 2024

Meanwhile, traditional fuel-powered cars are showing mixed results. Gasoline-powered vehicles dipped by 5.4%, while diesel saw a sharper decline of 7.5%. LPG-powered cars, despite their niche appeal, recorded a modest 3.2% gain, though they still occupy a negligible share of the market.

Tesla and Polestar: The EV Struggles Continue

It’s not just the overall market that’s feeling the pressure; EV makers themselves are getting hit hard. Tesla, the top dog in the electric revolution, posted a dramatic 55.1% drop in sales in November, delivering just 2,103 units in Germany. Year-to-date, Tesla’s German sales have fallen by 43.6%, with only 33,669 units sold so far. And it’s not just Tesla that’s in trouble. Polestar, another EV-only manufacturer, saw its November sales plummet by 26%, with a massive 52.6% drop in total sales for the year.

Rising Stars and Declining Imports

While EV makers are in a pinch this year, some traditional and import brands are seeing a turnaround. Toyota, the poster child of hybrids, for instance, had a spectacular November, with sales up 104.5%, securing 4.2% of the market share. Peugeot (+78.5%), Citroen (+16.9%), and Skoda (+16.5%) also posted impressive gains. On the flip side, several high-volume import brands are heading in the opposite direction. Fiat saw a steep 39.1% decline, while Kia (-16.9%), Mazda (-14.3%), Hyundai (-11.8%), and Renault (-0.9%) all delivered negative growth in new registrations.

The Outlook for Germany’s Auto Industry

In sum, Germany’s automotive market remains a study in contrasts: steady sales overall, but with a marked shift away from pure electric vehicles. With the government scrapping subsidies and EV makers stumbling, the future of electric mobility in Germany appears less certain than ever. Meanwhile, hybrids are enjoying a surge, proving that the internal combustion engine still has life left in it. No doubt, it’s a confusing time for the auto industry, one that might require more than just a policy shift to right the ship. What’s more, it brings the EU’s ban on ICE-powered cars that’s set for 2035 into question, as buyers may not be ready yet for such a huge change.

PASSENGER CAR SALES GERMANY

The sub-compact SUV market has a new electric contender, and it’s wearing a familiar face. Ford’s Puma Gen-E has officially joined the lineup in Europe as a fully electric alternative to the popular mild-hybrid Puma. With ST-level power, a respectable (if not groundbreaking) 376 km (234 miles) of range, and increased interior practicality, the Puma Gen-E steps into the EV ring with plenty to prove.

But does it deliver enough to hold its own against Stellantis’s electric arsenal or the reborn Renault 4? Let’s dive in.

A Familiar Punch, but Not Quite a Knockout

The Fiesta-based Puma Gen-E runs on a single electric motor mounted on the front axle, producing 166 hp (124 kW) and 290 Nm (214 lb-ft) of torque. This makes it technically less powerful by 2 hp than the hybrid Puma ST, which is the most potent version of the small SUV, but with a welcome bump of 42 Nm in torque. However, tipping the scales at 1,553 kg (3,426 pounds), the Gen-E gains some heft courtesy of its 43 kWh battery pack.

That added weight shows in the numbers: a 0-100 km/h (0-62 mph) time of 8 seconds flat, making it 0.6 seconds slower than the ST variant. The top speed is capped at a modest 160 km/h (99 mph), signaling its city-focused intentions. It’s certainly not going to embarrass hot hatches at the lights, but for an electric crossover in this class, these specs land squarely in the “adequate” column.

More: Ford Slashes 14% Of European Workforce As EV Demand Fizzles

And the range? Depending on trim, Ford claims between 347-376 km (216-234 miles) on a single charge. That’s a little behind competitors like the Jeep Avenger or Peugeot E-2008 from Stellantis, which feature slightly larger battery capacities in the 50-54 kWh range. The Puma Gen-E’s smaller pack is reflected in its WLTP numbers, but Ford touts an impressive efficiency of 13.1 kWh/100 km.

On the plus side, it supports 100 kW DC fast charging, juicing the battery from 10-80% in about 23 minutes, a stat that softens the blow of its middling range. If you’re wondering, the charging port is located in the same spot with the fuel cap in the ICE-powered Puma.

A Mustang-Inspired Nose and More Room for Junk in the Trunk

Where the Puma Gen-E makes a stronger case for itself is in its design and practicality. The SUV receives a revised front bumper with a closed-off grille and sleeker intakes that nod to the Mustang Mach-E. Beyond that, it’s business as usual, with minor updates like unique alloy wheels, a slightly tweaked rear spoiler, and—of course—the absence of tailpipes.

Inside, Ford plays the practicality card, leveraging the compact electric motor to carve out more storage. The boot offers a generous 574 liters (20.3 cubic feet), plus a 43-liter (1.5 cubic feet) frunk, perfect for charging cables or groceries. Even better, the cleverly named “Megabox” under the boot floor has been upsized to a “Gigabox.” Marketing semantics aside, it seems genuinely useful.

The digital cockpit is shared with the regular Puma, including the 12.8-inch digital instrument cluster and the 12-inch infotainment touchscreen, introduced earlier this year as part of the mid-lifecycle update. However, the electric version features a raised center console with a new storage compartment taking advantage of the space normally occupied by the gearbox.

Pricing And Rivals

The Puma Gen-E is being produced at the Ford Otosan plant in Craiova, Romania, although the electric drive units are being shipped from Halewood, UK. Ford has already started accepting orders, with deliveries expected to commence in spring 2025.

The Puma Gen-E enters the European market with a starting price of €36,900 ($38,800) in Germany, making it Ford’s most affordable EV offering in the region. For context, the gas-powered Puma starts at €28,900 ($30,400), while the hybrid Puma ST goes for €40,600 ($42,700). That puts the Gen-E in a competitive sweet spot for buyers willing to go electric but not quite ready to splurge on a Mustang Mach-E or the Capri EV.

Rivals of the Ford Puma Gen-E include the Jeep Avenger, Fiat 600e, Alfa Romeo Junior, Peugeot E-2008, and Opel Mokka Electric from Stellantis, alongside the Renault 4 E-Tech, and the Mini Aceman.

Ford

Earlier this week, a Consumer Reports study showed that Tesla EVs were the least expensive cars to run over a 10-year period. But that doesn’t mean anyone buying one is in a for a decade of stress-free driving. Another study, this time published in Germany, has ranked the automaker’s Model 3 last for reliability for the second year running.

The TÜV test is a compulsory roadworthiness assessment – officially called the Hauptuntersuchung – that all cars being used on German roads must undergo every 24 months once they reach three years old. Inspectors check the condition and operation of everything from the chassis structure to the brakes, steering, suspension, lights and a huge list of other items.

Related: Ram Tops J.D. Power Quality Survey, But Dodge Drops From First To Last

It’s a tough test and one out of every five cars fails. Tesla’s Model 3 racked up more failures than any other car in the 2–3 and 4–5-year segments, primarily due to problems with its lights, brakes and suspension.

The TÜV notes that the last two are often a problem with EVs due to their weight compared with equivalent combustion-powered cars and the fact that much of the braking force is generated through energy recuperation, meaning the brakes don’t get enough of a workout to keep them in good order.

“The high mileage cannot disguise the poor performance of the Model 3,” said  Joachim Bühler, Managing Director of the TÜV Association. “In addition to defects in the brakes and axles, the Tesla also has a particularly high number of lighting defects. This indicates deficiencies in service and maintenance.”

LOSERS: LEAST RELIABLE CARS

The study also showed that the highest-quality EVs are those made by adapting existing combustion cars. VW’s e-Golf and the Mini Cooper SE, for instance, recorded far fewer faults than bespoke EVs like the Renault Zoe and Tesla Model 3.

The Model 3 was ranked worst in the 2-3 and 4-5-year-old category, with Dacia’s Dokker taking the 6-7 and 8-9 age group raspberries, the same company’s Logan coming bottom in the the 10-11 section, and sister company Renault’s Twingo getting the wooden spoon for 12-13-year-old cars.

At the other end of the scale, there was good news for anyone looking to buy a used Porsche, or a new one that they plan to keep for a long time. The 911 Carrera was rated top in all of the five age categories between 4-13 years. But proving that you don’t need to spend a fortune to buy a quality, reliable car, the Honda Jazz took gold in the 2-3-year category.

WINNERS: MOST RELIABLE CARS

The automotive industry’s transition to electric vehicles continues to expose the growing pains of even the biggest players. On Wednesday, Ford announced plans to cut 4,000 jobs across Europe by the end of 2027, citing financial challenges tied to the EV shift and rising competition. The automaker is also scaling back operations at its Cologne plant in Germany, attributing the move to sluggish demand for its EVs.

Ford pointed to “unprecedented competitive, regulatory, and economic headwinds” as the driving forces behind the cuts, emphasizing that its European passenger vehicle business has endured “significant losses” in recent years.

The Job Cuts Amount to 2.3% of Ford’s Global Workforce

The planned reductions represent nearly 14% of Ford’s European workforce or 2.3% of its global personnel. Unsurprisingly, Germany and the UK will bear the brunt of these layoffs, with only “minimal reductions” expected across other European markets. The cuts are set to unfold over the next three years, with Ford pledging to consult with social partners throughout the process.

More: Ford Ranger EV Promises To Be An “Exciting” Gamechanger

Adding to the grim outlook, Ford announced more short-time working days at its Cologne facility for the first quarter of 2025. The company cited “lower-than-expected” EV demand as the reason, exacerbating concerns over the viability of its current strategy.

The facility is home to production for the fully electric Ford Explorer and Capri, which share their underpinnings with the VW ID.4 and ID.5. This measure is a follow-up to the recent adjustment on the EVs production schedule, with employees already working alternate weeks until the end of the year.

Emission Targets and Consumer Disconnect

Dave Johnston, Ford’s European vice president for Transformation and Partnerships, defended the job cuts as a painful but necessary step: “It is critical to take difficult but decisive action to ensure Ford’s future competitiveness in Europe.” Yet the broader picture reveals frustration with the regulatory environment.

As with most automakers, Ford is not happy with the strict emission regulations in Europe, saying there is a “misalignment” between CO2 targets and consumer demand for electrified vehicles.

Ford Calls for Policy Overhaul

This disconnect has prompted Ford to escalate its lobbying efforts. In a recent letter to the German government, CFO John Lawler urged policymakers to improve market conditions for EVs. The letter outlined key asks, including “public investments in charging infrastructure, meaningful incentives, improved cost competitiveness, and greater flexibility in meeting CO2 compliance targets.”

While Ford is clearly seeking ways to navigate the EV transition, its European troubles underline a larger industry-wide challenge: balancing regulatory pressure with market realities. For now, the road ahead for Ford, and others, remains bumpy.

If you wanted to start work at 18 with confidence that you could put in 45 or 50 years before sailing off to a happy, comfortable retirement, a job in the German auto industry always seemed like a solid bet. People are always going to want Golfs, right? But a new study says that thinking is outdated and reckons hundreds of thousands of workers could be left unemployed in as little as a decade, with EVs shouldering much of the blame.

In the same week VW asked workers to take a 10 percent pay cut to save their own jobs, an investigation by Prognos suggests it might only be delaying the inevitable. The report predicts the switch to electrification would reduce the number of workers in the German auto sector by 186,000 in 2035 compared with 2019 levels.

Related: VW Wants To Eliminate Bonuses And Cut Wages By 10%

The headcount reduction is mostly, but not exclusively, the result of the ‘drive systems’ of electric cars requiring fewer components than their combustion predecessors, meaning that both automaker employees and those working in the supplier industry risk losing their positions.

Jobs related to welding and metal processing, as well as business management and administration, will become more scarce, the report claims, but automakers will need to recruit more people working in IT, in electrical engineering and also (perhaps surprisingly) in mechanical engineering. Overall, though, more jobs will be lost than created, so while workers at risk would be wise to retrain, there still won’t be enough roles in 2035 for everyone currently employed in the auto industry.

The Prognos report says that the transition in the makeup of jobs at German automakers has been going on for the past few years, but will pick up steam over the next 10. And nowhere is evidence of the shift clearer than at VW, which this week asked its employees to take a pay cut and could be about to close three factories having never previously shut a plant in the company’s entire history. In fact, only a few days ago it was reported that Audi will shut down its Brussels plant, where the Q8 e-tron is manufactured, in February 2025.

VW chiefs claim that radical steps must be taken to help the company navigate its way through some tough times. And workers must be prepared to make some sacrifices in the short term if they’re to have any hope of safeguarding jobs in the long term.

“We urgently need a reduction in labor costs in order to maintain our competitiveness. This requires a contribution from the workforce,” Arne Meiswinkel, the VW brand’s personnel boss said, according to Reuters.

The automaker is struggling with a perfect storm of rising costs, a slower than expected uptake for its EVs in Europe and the US, and declining market share in China.

The new Dacia Spring has officially clinched the title of Germany’s cheapest “fully-fledged” electric car, thanks to a new leasing deal that makes it almost absurdly affordable. The base model of this stripped-down urban EV is now available for just €79 ($86) per month on a 24-month / 10,000km (6,214 miles) lease—and yes, that’s with zero downpayment. That adds up to a grand total of €1,896 ($2,063) for a €16,900 ($18,400) EV.

It’s a no-frills price for a no-frills car, but if you’re looking to dip a cautious toe into EV ownership without emptying your wallet, this is as close to free as electric motoring gets.

More: 2024 Dacia Spring EV Gets Duster-Inspired Looks And An Overhauled Interior

This cut-rate deal applies to the entry-level Essential Electric 45 trim of the series, powered by a barely-there 44 hp (33 kW / 45 PS) motor. With that underwhelming output, you won’t be surprised to learn that the Spring goes from 0 to 100 km/h (0-62 mph) in a glacial 19.1 seconds—no doubt a recipe for frustration on any road outside the city center. Its 26.8 kWh battery, however, manages a respectable WLTP range of 225 km (140 miles), enough for typical urban commuting with maybe a weekend detour,.

According to the company’s official configurator, the bare-bones standard trim keeps things unapologetically basic. You get steel wheels with hub caps, a 7-inch instrument cluster, and a smartphone holder to make up for the absence of a proper infotainment system. There’s also a single USB-C port, manual A/C, electric front windows, rear parking sensors, and the most minimal ADAS setup required by law. This is as stripped-down as EVs get, but that’s precisely the point—Dacia isn’t pretending otherwise.

The leasing offer is valid until December 31, 2024, for vehicles registered in Germany between January and June 2025, and only while stock lasts. In other words, it’s a true first-come, first-served deal—so you’ll want to act fast if you want in.

If outright ownership is more your style, the Dacia Spring starts from €16,900 ($18,355) for the base Essential Electric 45 trim, and tops out at €19,900 ($21,607) for the flagship Extreme Electric 65. This one has the more powerful electric motor producing 64 hp (48 kW / 65 PS) and offers a significantly more generous standard kit.

Since the Spring’s initial release in 2021, Dacia has sold 35,000 units in Germany, tapping into the budget-conscious EV market with surprising success. But competition is heating up.

What About Its Rivals?

Setting aside cheaper heavy quadricycles like the Citroen Ami, the biggest threat to the Dacia Spring comes from Stellantis-backed Leapmotor, and more specifically, its newly introduced T03. Sure, the T03 may have its roots in China, but it’s actually assembled on European soil. This budget EV starts at €18,900 ($20,529), positioning it a solid €2,000 ($2,172) above the entry-level Dacia Spring, which ironically, is actually built in China by Dongfeng-Renault.

Despite the price gap at entry level, the spec and standard equipment of the Leapmotor T03’s sole trim align more closely with Dacia’s mid-tier Spring Expression Electric 65, also priced at €18,900 ($20,529). But even then, the Leapmotor pulls ahead with a stronger 94 hp (70 kW / 95 PS) motor and a longer WLTP range of 265 km (165 miles), leaving the Dacia trailing both in power and range.

All other available “fully-fledged” electric cars in Germany are significantly more expensive. For example, the Citroen e-C3 starts from €23,300 ($25,307), although a cheaper version with a sub-€20k price will arrive next year featuring a less powerful motor and a smaller battery pack.

The Citroen e-C3 made headlines in late 2023 when it became available in France for as little as €54 ($59) per month on a three-year term, with no downpayment. However, the program had specific terms, was heavily subsidized by the French government, and has since been suspended until 2025.

Looking ahead, the much-anticipated Fiat Grande Pandacould come in at a competitive price, but it’s doubtful it will undercut the Dacia Spring. Similarly, Renault’s Twingo EV, slated for a sub-€20k price, remains a distant prospect with an expected 2026 release date. In short, the Spring may be underpowered and unpolished, but for those simply seeking the lowest cost of entry to EV ownership, Dacia’s offering still reigns supreme.

Chinese EV battery maker SVOLT has announced it will shutter its European operations in January and abandon plans for two production facilities, blaming slumping sales across Europe and rising trade tensions for the abrupt pullout.

Originally spun off from Great Wall Motors’ battery division, SVOLT now aims to refocus its European presence around technical services, warehousing, engineering support, logistics, and maintenance. In other words, it’s downsizing from ambitious manufacturing to just enough infrastructure to maintain a foothold in the region, but the shift signals a major retreat from its initial production-heavy aspirations.

Read: BMW Cancels €2 Billion Battery Deal With Northvolt Due To Delays

The move kills off two planned plants in Germany—a module and pack assembly facility in Saarland and a cell manufacturing plant in Brandenburg. The pack plant was first announced in late 2020 and included a €2 billion ($2.16 billion) investment. It was supposed to manufacture up to 24 GHw of packs each year and begin operations by mid-2024 but had been delayed. The battery cell plant was announced in 2022 and would have been SVOLT’s first overseas cell factory. It had planned to begin production in 2025.

Despite being China’s eighth-largest battery producer with a 2.36% share of the local market, SVOLT has been struggling to gain traction both at home and abroad. Financial constraints seem to be the root of the problem. It had planned to go public on the Shanghai Stock Exchange STAR Market in late 2022 but these plans were officially scrapped in December last year.

Currently, SVOLT is known to supply battery packs Citroen e-C3, and while limited other details about supply contracts in Europe are known, Rho Motion suggests that it may have had a contract with BMW to supply batteries.

Other battery manufacturers are struggling to establish themselves in Europe. In September, Volvo’s joint venture alongside Northvolt asked the Swedish government for $1.2 billion in funding to help it complete construction of its plant in Gothenburg. This plea came just months after BMW canceled a €2 billion order for battery cells from the Swedish firm.

Mercedes-Benz has opened the doors to an innovative new battery recycling plant in southern Germany that it says “creates a genuine circular economy” for the brand’s electric vehicles.

The site, located in Kuppenheim, can recover more than 96% of the valuable and scarce raw materials used in the batteries of the firm’s all-electric vehicles. In fact, Mercedes says the factory can recover enough materials – including lithium, nickel, and cobalt – to produce more than 50,000 new battery modules each year.

Read: Mercedes-AMG Readying Innovative Electric Supercar With Trick Batteries And Motors

Mercedes-Benz has adopted a hydrometallurgical process at the plant that recycles the active materials that make up the electrodes of the battery cells. These materials are extracted individually in a multi-stage chemical process. The facility also shreds battery modules and can sort and separate plastics, copper, aluminum, and iron.

“Mercedes-Benz has set itself the goal of building the most desirable cars in a sustainable way,” chairman of the Board of Management of Mercedes-Benz Group AG, Ola Källenius, said. “As a pioneer in automotive engineering, Europe’s first integrated mechanical-hydrometallurgical battery recycling factory marks a key milestone towards enhancing raw-materials sustainability. Together with our partners from industry and science, we are sending a strong signal of innovative strength for sustainable electric mobility and value creation in Germany and Europe.”

Powering the recycling operation is 100% green electricity, much of which is generated from solar panels on the roof of the building. According to Mercedes, the plant has an annual capacity of 2,500 tonnes.

The German car manufacturer wants to conserve as many resources as it can and already offers reconditioned batteries as spares for all of its EVs. Mercedes-Benz Energy also offers large-scale battery storage options that can reuse old packs that are no longer suitable for vehicle use.

Mercedes-Benz has partnered with a joint venture between engineering company SMS Group and Australian process technology developer Neometals for the recycling plant. The carmaker has invested tens of millions of euros in the site and is also receiving funding from the German Federal Ministry for Economic Affairs and Climate Action.

BYD has announced plans to build the majority of the electric vehicles it sells in Europe locally, while taking a jab at the EU for its import tariffs. Frustrated by the EU’s regulatory landscape, the Chinese automaker is ramping up local production to dodge some of the financial hits. At the same time, BYD is making it clear that it won’t simply absorb the extra costs without fighting back.

The Chinese brand has been slapped with an extra 17% tariff on top of the existing 10% rate for vehicles manufactured in China and exported to Europe. However, while speaking at the Paris Motor Show, BYD executive vice president, Stella Li, noted the brand will produce many components in Europe, assemble battery packs at plants in Hungary and Turkey, and only import battery cells from its home country.

Read: BYD’s Denza Z9 GT Rivals Porsche’s Panamera And Taycan For A Fraction Of The Price

During an interview with Reuters, Li added that most of the EVs BYD will sell in Europe are going to be built in Hungary. Additionally, it will aim to buy as many parts from European suppliers as possible and other Chinese suppliers currently setting up facilities in Europe.

According to Li, BYD is still deciding whether to pass the cost of the tariffs onto consumers or absorb the hit themselves. She added that, due to the tariffs, they don’t expect to sell cars in Europe for less than €30,000 (~$33,700).

“We disagree a lot on the calculations… it’s not a fair judgement,” she said. “Politicians should stay away from tariffs, adding more cost to auto manufacturing and confusing the auto industry.”

As part of BYD’s strategy in Europe, the Chinese carmaker will make changes to its German business after a disappointing launch in the country. Last year, BYD sold a touch over 4,000 vehicles in Germany, but sales fell to under 1,500 in the first half of 2024. Li says this is because BYD didn’t build the necessary infrastructure correctly and in August, decided to buy German distributor Hedin Electric Mobility to take greater control of sales in the market.

“You will see the change very soon – you will see a lot of BYD cars on the street in Germany,” Li added. BYD clearly expects to make a much bigger splash, whether Germany is ready for it or not.