With federal subsidies for electric vehicles in the US set to end on September 30 under the Trump administration, global automakers are quickly shifting focus toward Europe. Here, incentives remain strong and the EV market is thriving, offering fertile ground for both Asian giants and traditional brands.
IAA Mobility 2025, opening on September 9 in Munich, promises to be one of the most dynamic editions in years. After struggling to maintain prestige, the show is repositioning itself as a key stage for the electric and autonomous future.
Hyundai, returning to the IAA after four years, will showcase its compact Ioniq 3 SUV concept, designed specifically for European drivers. Developed largely at Hyundai’s European Technical Center in Germany, the Ioniq 3 will compete directly with models like Renault’s electric R4 and Volkswagen’s upcoming ID.2. Kia will also be present with its EV2, a compact electric SUV set to launch in Europe in 2026 at around €30,000, aiming to attract a wider customer base.
Meanwhile, BMW will debut the all-new iX3, its first production car built on the next-generation “Neue Klasse” EV platform, scheduled to enter mass production in Hungary later this year.
Chinese automakers will play a central role too, with eight brands, including BYD, Leapmotor, XPeng, and AITO, bringing world premieres. BYD will debut the Seal 6 DM-i Touring plug-in hybrid, while AITO will officially launch its extended-range AITO 5 SUV. Changan will also unveil a new model, underscoring its plans to expand into ten European markets.
Legacy brands aren’t staying behind: Mercedes will unveil its new EQ GLC, Volkswagen will present the ID.2 concept and Volvo will return to a German auto show after twelve years with the EX60 mid-size SUV, due in 2026.
While US incentives vanish, Europe is cementing itself as the global hub for EV growth. With Germany, the UK, and Italy offering substantial subsidies, the continent continues to foster investment and secure a bright future for electric mobility.
