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Petrol, heating oil and gas prices have risen sharply in Germany, pushing up household costs and business expenses. Here's what expats need to know heading into winter.

For expats living in Germany, buying or owning a car is often a practical necessity — especially outside major cities where public transport options are limited. A significant policy debate at the European level could affect what kinds of cars will be available to buy new in the coming years. Germany is actively pushing the EU to continue allowing new cars with combustion engine technology to be registered, a position that challenges the existing European framework that had been moving toward phasing them out. A deal between Germany and France now appears to be in the works, which could reshape the car market across Europe.
Germany has been advocating for the continued registration of new cars equipped with combustion engine technology — meaning petrol and diesel vehicles — beyond the timeline previously set at the EU level. This is a notable policy position, as the EU had been working toward ending sales of new combustion engine cars as part of its broader climate strategy.
France's President Macron had previously been reluctant to align with Germany's position on this issue. However, according to recent reporting, the two countries are now moving toward a deal. The specifics of what that deal would look like — including any timelines, conditions, or exceptions — have not been fully confirmed in available reports.
The development reflects a broader recalibration of EU climate and automotive policy, with some member states pushing back on the pace and scope of the green transition in the car industry.
If you own a car, are planning to buy one, or are weighing up whether to go electric, this policy shift is relevant to your decision-making:
It is worth noting that this is a policy negotiation still in progress. No final decision has been announced, and the outcome will depend on agreement at the EU level, not just between Germany and France.
The EU had previously set a framework aiming to phase out new combustion engine car sales as part of its climate commitments. Germany's push — and now the apparent movement toward a Franco-German deal — represents a significant development in that ongoing debate. Whether the final outcome will involve a delay, an exemption, or a fundamental change to the existing policy remains to be seen.
For anyone making major financial decisions related to vehicle purchases, it is advisable to wait for clarity before assuming a particular policy outcome.
Yes, at the time of writing, new combustion engine cars are still available for purchase in Germany. The policy debate is about future deadlines and rules, not current sales.
The source reporting does not provide specific figures or projections on pricing. However, broader availability of combustion engine vehicles could affect the competitive dynamics of the car market over time. Watch for official announcements from the EU and the German government for concrete information.
The Kraftfahrt-Bundesamt (Federal Motor Transport Authority) is the official German authority for vehicle registration and related regulations. For EU-level policy updates, the European Commission publishes official documentation on automotive and climate regulations.
The potential softening of the EU combustion engine ban is a developing story with real implications for anyone living in Germany who owns or plans to buy a car. For now, no final decision has been made — but if you are considering a major vehicle purchase, it is worth keeping an eye on how the Franco-German negotiations progress and what the EU ultimately decides. Avoid making major financial commitments based on policy outcomes that are not yet confirmed.
Source: tagesschau
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