Germany is making significant progress in the EV realm. In December 2022, PEVs made up the majority of auto sales in Germany for the first time, with 55.4% of the market. Full EVs made up 33.2% of sales and plugin hybrids made up 22.2%. This compares to 21.3% and 14.4% in December 2021. The Tesla Model 3 was the best-selling car in December with 9,566 registrations. Full-year 2022 saw a 31.4% share of PEVs in the market, up from 26% in 2021. The share of BEVs in the market increased from 13.6% to 17.7% YoY, and is expected to reach 50% in 2026 and close to 90% in 2028. Additionally, the combined share of combustion-only powertrains dipped below one-third of the market for the first time ever. The growth in plug-in vehicle sales was most likely influenced by a reduction in government incentives for these vehicles starting on January 1st.