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Tesla Sales Will Benefit From The Latest Europe’s Green Recovery Plan

by Eva Fox May 19, 2020

Tesla Sales Will Benefit From The Latest Europe’s Green Recovery Plan

The European Commission intends to facilitate the transition to electric cars as part of the greening of the economic recovery plan.

EU executive is considering incentives for car makers to produce and sell clean cars and investment in charging infrastructure for electric vehicles, according to a draft EU document seen by Bloomberg News.

“Massive support for the automotive industry will put significant debt on future generations,” the commission said in the document. “That support must respect our youth’s expectations on climate change and for a healthier and cleaner future.”

Commission may propose an EU-wide Purchasing Facility for Clean Vehicles, that reduces CO2 and pollutant emissions in line with EU standarts, amounting to €20 billion in the next 2 years.

Clean Automotive Investment Fund of €40-60 million would accelerate investments in zero-emission drive trains.

Commission is considering doubling of the EU investment package for recharging to build 2 million public charging and alternative refuelling stations by 2025.

According to the document, cars with zero emissions will be exempted from the Value Added Tax (VAT).

This policy will encourage people to switch to EV, and automakers, to accelerate their efforts to develop and increase the production of EV. Until then, automakers such as Tesla will have a leading position and enjoy incredibly high demand. This will support the goal of the American automaker to accelerate the transition to cars with zero emissions.

Each year, the EU tightens CO2 emissions standards for vehicles, which encourages automakers to accelerate the "cleansing" of their fleets by filling them with environmentally friendly vehicles. Incentives, assistance and loyal policies of states towards EVs and for their manufacturers are key points in the matter of the mass transition of the world to environmentally friendly vehicles.

 Fetured image: Candyapplewhip/Instagram




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