After this year’s very weak car market in Germany, the German automotive industry trade association, Verband der Automobilindustrie (VDA) has called for a quick decision over the introduction of new CO2-related car taxation.
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VDA president Matthias Wissmann told the Handelsblatt newspaper this year that the market would recover only once the issue is decided. Sales this year are expected to have fallen from 3.47m units last year to between 3.16 and 3.17m units in 2007.
Wissmann said he was hoping for sales of at least 3.2m units next year and for the new taxation to be decided on during the year. The German government is expecting the tax to be introduced at the beginning of 2009 at the latest.
The new system will be based on CO2 emissions rather than engine cylinder size as is currently the case.
The European Union Commission wants to reduce average CO2 emissions from cars to 130g/km by 2012. The current average is around 160g.
German manufacturers, which produce larger and heavier cars, will be particularly hit by any legislation although there are likely to be allowances for the weight and type of vehicle. Industry commissioner Günter Verheugen and environment commissioner Stavros Dimas will present proposals for the new legislation on 19 December.
