The German Government Plans To Implement A Green Steel Procurement Quota System in The Automobile Manufacturing Industry

The German government plans to implement a green steel procurement quota system in the automobile manufacturing industry

According to the "Law Report" report, the German Federal Government plans to take the lead in the automobile manufacturing industry and implement a green steel quota system during the procurement of raw materials.

The German government's previous "Climate Protection Package 2022" mentioned that in order to achieve a carbon-neutral and recyclable raw material market, it is necessary to implement a carbon dioxide tax and increase raw material costs to promote the development of a green economy. The green steel procurement quota system will be implemented in the automobile industry first, and then will be widely spread in more other raw material industries.

In addition, the federal government will revise the vehicle purchase tax calculation model to strengthen the impact of emissions on the vehicle purchase tax and promote the popularization of electric vehicles, hybrid vehicles, and other models. 

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(Source: Economic and Commercial Section of the Consulate General in Munich)