Between 2024 and 2028, Germany's forecasted tax expenditure on fossil fuels for transportation as a percentage of GDP is expected to decline gradually. The trend depicts a consistent annual decrease, with the percentage dropping from 0.021 in 2024, to 0.015 by 2028. Year-on-year, the tax expenditure shows a clear downward trajectory, highlighting efforts to reduce dependency on fossil fuels, likely influenced by environmental policies and a shift towards sustainable energy sources. Over five years, the compound annual growth rate (CAGR) indicates a decline.
Future trends to watch for include the potential acceleration of electric vehicle adoption, government policy shifts, and new technological advancements in sustainable transportation, which could further drive down fossil fuel tax expenditures.
