Supports for electric vehicles have already caused order cancellations, according to ACAP

The ACAP general secretary warns that new incentives are causing buyers to cancel orders while they wait for the final rules of the program.

The new subsidies for purchasing electric vehicles, announced this week by the Ministry of Environment and Energy, have not yet taken effect, but their impact is already being felt in Portugal’s automotive market.

In exclusive remarks to Razão Automóvel, Helder Pedro, general secretary of the Portuguese Automobile Association (ACAP), revealed that dealers are already seeing a slowdown in purchase decisions since the new incentives were announced.

According to him, the uncertainty created by the government is prompting buyers to cancel orders in order to wait for more information about the program before making a final purchase.

"Our franchise partners immediately saw orders canceled when this (new subsidies) was announced," began Helder Pedro, noting that this "also causes problems in the automotive industry."

Announcements Create Uncertainty

The possibility of receiving government support is already influencing purchasing decisions, and according to Helder Pedro, it could even affect October’s sales figures.

"The dealers immediately felt this issue, and it will certainly show up in the total sales for October, which is now closing out. Those three days meant complete shutdown," said the ACAP general secretary.

This situation is related to the lack of information about the new incentives, specifically the dates they will be available and the vehicles that can benefit from these supports.

For the program aimed at families with lower incomes, the government has already announced a subsidy of up to 80% of the purchase price, with a maximum limit of 15,000 euros.

A 1,000 euro increase to the subsidy ceiling was also announced if a combustion vehicle is surrendered for recycling. However, it remains unclear how these limits will be applied and which models are eligible.

As for the general incentives for electric mobility, which will have a budget of 50 million euros in 2027, the subsidy amounts, price limits, and application timeline have not yet been specified.

ACAP has already warned the government

In light of this situation, the ACAP general secretary told Razão Automóvel that he has already conveyed his concerns to the government, warning about the consequences that ads without a clear timeline could have on dealerships’ operations.

“I have already passed this on to the office of the Minister of Environment and Energy. Attention is needed regarding these ads,” said Helder Pedro.