German automakers take different sides on the use of e-fuels over EVs
German automakers, known for their luxury and performance, hold different views on the use of e-fuels. While Mercedes-Benz CEO says it will favor “technically superior” EVs over ICE vehicles powered by e-fuels, Audi’s CEO says the synthetic fuels will play a major role within the Volkswagen Group’s plans, including Porsche.
E-fuels are synthetic fuels made using captured carbon dioxide emissions or hydrogen produced using CO2-free electricity, such as wind or solar energy. The idea is that by capturing these emissions that would have otherwise been released into the atmosphere makes them carbon neutral.
However, to produce e-fuels, a source of carbon is still needed, which primarily comes from oil and gas fields. More importantly, they are still used to fuel internal combustion vehicles and emit just as many harmful air pollutants as fossil fuels.
Earlier this year, Germany objected the EU’s proposed ban on new ICE vehicles in 2035 until the commission made a compromise to allow e-fuels as a “climate-neutral” fuel source.
Several German automakers have publicly spoken about using e-fuels and EVs going forward with different viewpoints on synthetic fuels.
German automakers mixed on e-fuel use over EVs
Mercedes Benz CEO Ola Kallenius reaffirmed the automaker’s plans to focus on EVs going forward, telling a German newspaper earlier this week that the automaker will continue to favor superior electric motors over internal combustion engines powered by e-fuels.
Kallenius said that EVs offer advantages in power efficiency, describing them as “technically superior” and “sensationally good” while pointing out the fact that e-fuels cannot compete with EVs being zero emission. He added:
The electric car is still a young technology compared to the combustion engine. We still see great potential for progress: the electric drive will overtake the internal combustion engine in terms of performance before the end of this decade.
Meanwhile, fellow German luxury automaker Audi’s CEO, Markus Duesmann, spoke to the German newspaper WELT to share his views on the EU’s ban on ICE vehicles and the use of e-fuels.
Duesmann explained that although Audi is phasing out ICE vehicles by 2033, the automaker will still offer different drive systems for buyers, saying:
E-fuels have an important role to play, especially in making the existing fleet of ICEs carbon-neutral. E-fuels are also the only decarbonization technology we know for air travel and ocean shipping. Within the Volkswagen Group, Porsche’s current e-fuels pilot plant in Chile is demonstrating that this technology really works.
This comes despite Volkswagen brand chief Thomas Shafer claiming e-fuels are “unnecessary noise from my point of view,” and by 2035, combustion engines are done anyway.
Shafer added that e-fuels won’t replace EVs and that “we don’t have enough energy as it is, so why waste it on e-fuels.”
Electrek’s Take
As Kallenius and Shafer both point out, e-fuels are unnecessary noise at this point. Producing e-fuels is an expensive and energy-intensive process. It also still promotes fossil fuel production and prolongs how long automakers can continue building gas-powered vehicles.
Instead of wasting the investment into e-fuel development and production, using the resources to fund zero-emission EV technology makes a lot more sense.
With nearly every automaker targeting an entirely electric lineup, what’s the point of wasting time and resources on synthetic fuels that will be phased out before they become widely available anyway?
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The Honda Prologue is a surprise hit. It was the second-best-selling electric SUV behind the Tesla Model Y in the second half of 2024. Now, used models are in high demand.
Honda Prologue leads used EV sales growth in July
After it delivered the first customer models last March, the Honda Prologue quickly became one of the most popular EVs in the US.
Throughout the second half of the year, Honda sold an average of over 5,000 Prologues every month. In November, it was the third best-selling EV, trailing only the Tesla Model Y and Model 3.
Honda’s electric SUV continues to be a top seller this year. Last month, it outsold the Ford Mustang Mach-E and Hyundai IONIQ 5. Since delivering the first Prologue model last March, Honda has now sold 52,500 units in the US.
According to Cox Automotive’s latest EV Market Monitor report, used Honda Prologue EVs are selling faster than expected.
Used EV sales rose sharply in July to 36,670, up 23.2% from June and 40% compared to last year. Honda had the biggest increase in used EV sales, more than doubling (+103%) month-over-month. Hyundai (+61.3%) and Rivian (60.5%) ranked second and third.
Tesla led used EV sales last month, selling 15,903 vehicles, up 18% year-over-year. GM’s Chevy (3,499 units, +28.6%), Ford (1,967 units, +25.7%), Mercedes-Benz (1,724 units, -12.3%), and Nissan (1,659 units, +19.9%) rounded out the top five.
Although its market share slipped to 43.4% from 45.2%, Tesla remained the leader by a wide margin. Other luxury brands, including BMW and Audi, reported higher used EV sales in July, with increases of 43.87% and 38%, respectively.
According to the report, used EV listing prices reached $35,263 last month, a 1.9% decrease from June. With a price gap of just $1,266, a record low, used electric vehicle prices are closing in on ICE vehicles.
New EV sales also picked up in July. With over 130,000 EVs sold, up 26% from June, the electric vehicle market share reached 9.1%, the second-highest to date.
Ahead of the $7,500 federal tax credit deadline, set to expire at the end of September, 11 brands posted their best EV sales of the year. The top five included Tesla, Chevy, Hyundai, Ford, and Honda. Volkswagen surged to sixth after electric vehicle sales surged 454% last month.
The Honda Prologue starts at $47,400, but with the credit, you can snag one for under $40,000 right now. Honda is also offering monthly leases as low as $159 in California and other ZEV states. In other regions, it’s still listed for as low as $229 per month.
| 2025 Honda Prologue trim | Starting Price* | Starting Price After Tax Credit* |
EPA Range (miles) |
| EX (FWD) | $47,400 | $39,900 | 308 |
| EX (AWD) | $50,400 | $42,900 | 294 |
| Touring (FWD) | $51.700 | $44,200 | 308 |
| Touring (AWD) | $54,700 | $47,200 | 294 |
| Elite (AWD) | $57,900 | $50,400 | 283 |
Even Honda’s luxury brand, Acura, is selling more electric vehicles than expected. Through the first half of the year, the Acura ZDX outsold the Cadillac Lyriq, and it’s based on the same GM Ultium platform.
Sales are expected to continue picking up ahead of the deadline. As Cox Automotive highlighted, “July’s performance sets a strong precedent, and as policy support winds down, the market’s ability to respond to real-time demand and brand-level dynamics will be critical in shaping the next phase of growth.”
Ready to take advantage of the savings while they are still here? We’re here to help. You can use our link to find deals on the Honda Prologue in your area (trusted affiliate link).
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The waste management experts at Republic Services are committed to cleaning up the Chicagoland area — and now, that includes the air Chicagoans breathe, thanks to the deployment of new Mack LR Electric garbage trucks in the heart of America’s Second City.
Republic Services executives and partners from local utility ComEd gathered yesterday, 14AUG, to celebrate the deployment of Chicago’s first electric refuse fleet, featuring two new Mack LR Electric garbage trucks paid for, in part, by ComEd’s commercial EV rebate program.
“The Mack LR Electric is purpose-built for refuse applications, delivering zero local emissions while maintaining the durability and performance Mack trucks are known for,” reads the official Mack press release. “The electric powertrain provides quieter operation for early morning routes and helps fleet operators meet sustainability goals while supporting cleaner air quality in urban communities. With its low cab-forward design and tight turning radius, the LR Electric maintains the maneuverability essential for residential and commercial waste collection routes.”
The big Class 8 Mack Trucks are powered by a pair of electric motors putting 400 combined kW (about 536 hp) through a 2-speed Mack Powershift transmission that offers a whopping 4,051 lb-ft of peak torque output. That’s over 40% more power than the first generation Mack LR Electric released in 2019, and this iteration can charge the 376 kWh Samsung-sourced batteries fully in under two hours at 150 kW.
Real money, real results
While Washington continues to threaten America’s economic security and position as a global technology leader by toying with the idea of killing the $7,500 Federal EV tax credit, the ENERGY STAR program, and other energy efficiency incentives, the private energy sector is stepping up with massive investments in battery storage, charging infrastructure, and commercial EV rebates – and Chicago is leading that charge (pun very much intended), with EV adoption outpacing the rest of the nation by 4:1 in Q1.
“ComEd is proud to support Republic Services in advancing zero emissions transportation for Chicago’s neighborhoods,” explains Melissa Washington, our senior vice president of customer operations and strategic initiatives. “As more customers take advantage of our EV rebate programs, we are helping empower customers to realize the air quality and energy savings benefits of EVs, and moving our communities closer to their goals for a more sustainable future.”
The new HD electric vehicles will be powered up nightly by equally new 150 kW DC fast charging stations from BP pulse, which are installed at Republic’s vehicle yard in the Little Village neighborhood. Part of the ComEd rebate money awarded to the company helped fund the make-ready infrastructure portion (effectively from the transformer to the stub) of that project, as well as at least one Ford F-150 Lightning pickup.
And, if these trucks look familiar, it might be because Republic Services also handles refuse collection for the City of Madison, Wisconsin, and added two Class 8 electric trucks to their garbage fleet last year in the form of a pair of similar Mack Electric LR HDEVs.
Electrek’s Take
Look, you know me. There is absolutely ZERO chance that I’ll be able to remain objective about anything that’s putting down more than four thousand lb-ft of torque. Make that thing quieter, cleaner, and generally better for me and my community, and there’s even less of a chance of me saying anything critical about it.
Here’s hoping more cities go electric rather sooner than later.
SOURCES | IMAGES: Mack Trucks, Republic Services, via LinkedIn.
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In the Electrek Podcast, we discuss the most popular news in the world of sustainable transport and energy. In this week’s episode, we discuss Tesla’s upcoming FSD update, Ford’s Universal EV platform, the new Acura NSX, and more.
The show is live every Friday at 4 p.m. ET on Electrek’s YouTube channel.
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