Mobility Sweden predicted a bleak year for the electric car market, and so far, the prognosis seems to be correct. In July, 5,516 electric cars were registered, a decrease of almost 15 percent compared to July last year.
Looking at the first six months of the year, the number of new registrations has decreased by more than 19 percent.
Several factors are affecting the decreased desire to buy an electric car. The gloomy economy in recent years is one factor. But also, lower prices for both gasoline and diesel are contributing to slowing down electrification.
When we get a change, like we got with the reduction obligation and now with price reductions on fuel, it doesn't benefit the electric car despite the government's intended proposal in the autumn budget of a smaller increase in biofuel levels to ten percent, says Tommy Letzén at the industry organization MRF.
Used cars are doing better
In contrast to the sale of new cars, the used car market has not been affected by the tough headwind to the same extent. According to figures from the car brokerage Kvdbil, the sale of used electric cars increased by more than 66 percent during the first half of the year.
"Higher interest rates and the abolition of the climate bonus have made financing a new electric car very expensive. Many have turned to the second-hand market, where prices are lower", says Daniel Odsberg, sales manager at Kvdbil, in a press release.
MRF also sees an increased interest in used electric cars.
Electric cars are very expensive, and in the economic situation we have, the steps are difficult to take, which has made used cars do well and do better than last year, says Tommy Letzén.
Political measures
But even the interest in electric cars on the used car market is affected by a sluggish market, and ultimately, it's about money and households' ability to actually want and be able to invest, while seeing their living costs skyrocket in recent years, according to Letzén.
He believes, however, that interest in electric cars will increase again, not least when electric cars come down to a lower price level. At the same time, the government needs to make it easier for those who actually want to buy an electric car. One way could be to provide tax relief on electricity via car charging stations, according to Tommy Letzén.
This is currently a wallet issue, he says.
