A Danish car importer has landed in hot water in Sweden after profiting nearly 10 million kroner ($1.3 million) from a now-defunct electric vehicle subsidy — without breaking any laws.
The Wismo Group, which imports Stellantis vehicles to Denmark and Sweden, received 14 million Swedish kronor in climate bonuses before Sweden scrapped the program in November 2022.
The money was legally obtained, but Swedish officials say the company gamed the system by registering EVs in Sweden for six months and then exporting them for profit.
Former Swedish Climate Minister Isabella Lövin is outraged, calling it a manipulation of the system that undermines the original intent of the EV incentive. However, since Wismo followed the law, there is no legal action being taken beyond the fine.
Helsingborg Dagblad writes that.
Wismo is not the only one to have used this strategy. Germany previously allowed similar subsidies, where buyers only had to keep an EV for six months before selling it—resulting in a wave of German EVs entering the Danish used car market.
The controversy comes as European governments rethink their EV policies. Sweden has ruled out bringing back EV subsidies, arguing that electric cars have become affordable enough to compete with gasoline and diesel vehicles.
Meanwhile, Germany is hesitating to reintroduce support but still offers incentives for company-owned EVs.
Denmark, on the other hand, has taken a different approach. Despite an agreement in 2020 to gradually increase EV taxes, the Danish government has refused to make electric cars more expensive, sticking to its current tax framework.
At the same time, Sweden’s government has moved in the opposite direction, choosing instead to keep gasoline and diesel prices lower—a campaign promise that helped secure their victory in the 2022 elections.
