Tesla faces differing EV subsidy rules in California and Germany

California will launch a new electric‑vehicle purchase rebate of up to €3,045 for new cars priced under €43,500, split equally between the state and manufacturers. The incentive is limited to manufacturers whose corporate headquarters are located in California on 1 January 2026. Because Tesla moved its headquarters to Texas in 2021, it qualifies only for the rebate on models below the price cap, while Rivian and Lucid, whose headquarters remain in California, receive the full subsidy even though their lowest‑priced models exceed the cap. The program is funded with €118 million from the state and a matching contribution from automakers, for a total pool of about €235 million.

In Germany, the Federal Ministry of the Environment reported that €53.9 million of subsidies have been approved out of a €3 billion program by the end of June. Tesla leads the list with 2,086 approved applications, followed by Škoda with 1,197. Leapmotor (613) and Volkswagen (593) are also notable. The subsidies are income‑based, favoring lower‑priced models, and many of Tesla’s approved vehicles are produced at its Brandenburg plant.