Mobility

Cars: the share of electric vehicles exceeds 8 per cent thanks to the incentive, but there is a risk of stagnation

At 10 per cent of June’s new car registrations, but figures returned to normal levels in July – The sector is calling for new incentives and tax measures for vehicle fleets

 (Imagoeconomica)

3' min read

Translated by AI
Versione italiana

Key points

  • the impact

3' min read

Translated by AI
Versione italiana

If we are to assess the impact of car incentives for electric vehicles, then two points must be made clear: the eco-bonus introduced in October boosted the share of electric models, pushing it above 10 per cent of the new car market in June and settling at 8.4 per cent for the first half of the year – three percentage points above the 2025 target; furthermore, the incentives have mainly favoured models produced by Chinese manufacturers, particularly Leapmotor – distributed by Stellantis, which manufactures the electric Fiat 500 in Turin.

The key is to understand how to ‘capitalise’ on this surge, how to influence consumer choices, and how to bridge the significant gap between the domestic electric vehicle market and the European average. The autumn 2025 incentives, which were snapped up within a single day, generated 35,000 more registrations in the first half of the year compared with 2025; when added to the additional volumes from last November and December, this figure reaches an estimated 50,000 units. The share of electric vehicle registrations in the first half of the year reached 8.4 per cent, compared with 5.2 per cent a year ago. These figures demonstrate the impact that the measure has had.

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The risk, however, is that these percentages and volumes will decline as the months go by, as the trend in July already seems to suggest. Last month, electric cars returned to more typical levels, accounting for 5.9 per cent of registrations – an increase of just one percentage point compared with the 4.9 per cent recorded in July 2025.

So what is the best way to more effectively boost demand for electric vehicles on the Italian market? According to Unrae (the association representing foreign car manufacturers), “the critical issue at the moment is the lack of incentives for private individuals to buy fully electric cars, especially given how far behind the rest of Europe our country is,” states President Roberto Pietrantonio. Tailored measures are needed, and the 250 million in automotive sector funding – which has been diverted to other areas – could prove useful, even though, at a time of high diesel and petrol prices, the urgent priority seems to be to allocate resources to the conventional fuel market to reduce the impact on prices at the pump and on inflation.

According to Motus-E, “the lag in the transition to electric vehicles and the erratic performance of the market – as confirmed by the recent rush to claim the eco-bonus for commercial vehicles – reflect the difficulties encountered in devising clear and predictable incentive schemes,” points out President Fabio Pressi. Structural, system-wide measures are therefore needed to support the transition or, at the very least, to bring Italy into line with the main European markets. Starting with the lever of taxation. “To restore confidence and stability to the market, a thorough review of the tax regime for company cars can no longer be postponed,” adds Pressi. In Italia, we need to make it more cost-effective for businesses and self-employed individuals to ‘choose an electric vehicle, by taking coordinated action on tax deductibility, VAT deductibility and fringe benefits’.

The European Commission has provided for the possibility of invoking the national safeguard clause for measures relating to energy security and the reduction of dependence on fossil fuels, including electrification. In this regard, the proposal from ANFIA (the Italian Automotive Manufacturers’ Association) is clear: ‘We urge the Government to consider using part of the budgetary deviation to introduce new incentives for vehicles made in Europe, in line with the objectives of strengthening the competitiveness of the European industrial supply chain and supporting the decarbonisation of transport,’ emphasises President Roberto Vavassori.

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