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New Turkish-made EV to sell more cheaply in Germany than at home due to high taxation

President Erdoğan is posing with Turkey's domestically produced car prototype.

A Turkish-made electric vehicle will go on sale in Germany at a significantly lower price than in Turkey, where high taxes make the car less affordable.

Turkey’s first domestically produced electric vehicle, the Togg T10X, a compact electric sport utility vehicle (SUV), will be listed in Germany for €31,280, or approximately 1,663,000 Turkish lira, according to Turkish media reports. That is about 700,000 lira less than its current Turkish base price of TL 2,363,000, a gap that has reignited public debate over Turkey’s tax regime.

For decades Turks have been frustrated by having to pay more than Europeans for the same cars, often believing this was due to import costs, currency differences or the fact that Turkey did not produce its own vehicles. The common assumption was that once the country began making its own cars, prices would drop and access would improve. But the launch of Togg in Germany at a lower price than in Turkey has challenged that belief. It shows that even a locally produced car can be less affordable at home, not because of foreign dependence but because of domestic tax policies. In contrast, many countries offer subsidies or tax breaks to ensure their citizens can afford vehicles made within their own borders.

The Togg T10X is manufactured by Togg, a state-backed electric car initiative established in 2018 with a consortium of industrial groups. The vehicle is produced at a dedicated facility in the northwestern district of Gemlik, where mass production began in 2023.

The announcement of its European pricing comes ahead of the vehicle’s expected debut at the IAA Mobility show in Munich this September. Sales in Germany are scheduled to begin in late 2025, although some industry outlets, such as Automobilwoche, have reported a potential delay to 2026.

The stark price difference between the Turkish and German markets is largely attributed to taxation. In Turkey buyers must pay a steep Special Consumption Tax (ÖTV) on new vehicles, followed by a 20 percent Value-Added Tax (KDV). A recent regulatory change that altered the ÖTV tax brackets added 422,000 Turkish lira to the base price of the T10X, pushing the most affordable version — the V1 RWD Standard Range — to 1,862,000 lira. Higher-end models and optional features can raise the price to over TL 3.1 million.

In contrast, Germany imposes no equivalent to Turkey’s ÖTV. Electric vehicles are exempt from the country’s annual motor vehicle tax for 10 years, and the 19 percent Value-Added Tax (VAT) is already included in the sticker price. Additional incentives, such as free parking in certain states and favorable registration policies, further reduce the financial burden on EV buyers in Germany.

The pricing disparity is especially controversial when compared to average wages in the two countries. In Germany, where the gross minimum wage is approximately €1,800 per month, a worker could theoretically buy a T10X in about 17 months. In Turkey, where the minimum monthly wage is 22,104 lira, it would take nearly nine years of full wages to afford the same vehicle.

German media outlets have presented the T10X as a serious contender in Europe’s crowded electric SUV market, positioning it alongside models such as the Volkswagen ID.4, Tesla Model Y and MG4. The Togg T10X features an 88.5 kWh battery offering up to 468 kilometers of range. Its all-wheel-drive variant delivers 435 horsepower and 700 Nm of torque, with DC fast-charging capabilities of up to 180 kW.

The interior is equipped with a wide digital display that spans the entire dashboard, merging four screens into a single interface. It includes options for streaming services, in-car video games, a built-in selfie camera and an AI-powered radio system — features that aim to appeal to a tech-savvy younger audience in Europe.

The lower pricing abroad has triggered a wave of criticism inside Turkey, particularly from opposition figures who view the issue as symbolic of broader economic inequality. İstanbul Mayor Ekrem İmamoğlu, currently imprisoned in Silivri Prison and widely regarded as the opposition’s main presidential candidate, commented on the pricing on social media, saying: “‘Homegrown’ Togg is 1,663,000 lira in Germany and 2,363,000 in Turkey. With your unjust tax system, you have turned being a citizen of the Republic of Turkey into a punishment.” He pledged to implement a fairer system “where those who earn more, pay more.”

On Turkish social media, the pricing controversy has given rise to a now-viral expression: “For Hans, not for Hasan” — a phrase that encapsulates the public’s frustration over a car produced in Turkey being more accessible to foreign buyers than to local citizens.

Roughly 60,000 units of the Togg T10X have been produced since manufacturing began, with domestic orders placed through the company’s official Trumore app. Despite its status as a national industrial project, the vehicle remains largely out of reach for many Turkish households.

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