Germany's draft budget cuts electric bus subsidies by 68%, risking 1,500 fewer buses and 1,000 jobs by 2030
By Eve
Germany's draft federal budget for 2027 proposes reducing electric bus subsidies from €403 million in 2026 to €130 million, a 68% cut. A PwC study published on 15 October 2026, commissioned by the German public transport association VDV and Klima-Allianz Deutschland, estimates this €273 million reduction could result in around 1,500 fewer electric buses by 2030 and put approximately 1,000 jobs at risk. The German urban bus sector generates between €1.6 billion and €2 billion in annual economic value added, supporting between 10,300 and 12,600 jobs across vehicle manufacturing, component suppliers and related infrastructure.
Why it matters
The proposed subsidy cut directly threatens procurement volumes for electric buses and the domestic manufacturing supply chain, potentially stalling fleet electrification targets. A coalition of industry, business, civil society and trade unions is urging the Bundestag to reverse the cuts during ongoing budget negotiations, highlighting the risk to both decarbonisation goals and manufacturing jobs.
Source
- Original title
- “Germany’s e-bus subsidy cuts could mean 1,500 fewer electric buses by 2030, PwC study finds”
- Published
- 15 October 2026
In this story
- Topic
- Policy & Market
- Place
- Germany
- Tag
- PwC
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