Headline Target: No sales of vehicles producing CO2 by 2035 (EU phase-out)

Car Manufacturing Country: Volkswagen AG, Stellantis, Jaguar Land Rover, Hyundai Motor Group.

Purchase Incentives for Cars: Registration tax reduction, ownership tax exemption.

Supplier Regulation Policy: EU emissions performance standard (Tightening CO2 regime)

Infrastructure Incentives: None

Slovakia is the largest manufacturer of cars per capita in the world, meaning this sector is crucial for the economy. To future proof this sector, it must electrify both its domestic car parc, and its manufacturing industry.

It is likely these will happen at different rates. Slovakia has a small number of EVs on its roads, and the government is seeking to push forward the transition through tax incentives. It currently has no purchase grants available to motorists

Despite this, Volvo is set to open a plant which will only produce EVs in 2026. Volkswagen also announced plans to produce EV models in the country, whilst Inobat, a Chinese company has announced plans to build a gigafactory in the country. Lessons could be taken from Mexico which has become an EV manufacturing hub, despite having lower EV sales.