With regard to Germany, the DAT market observation has found from its market analysis that the Tesla price reductions do have an impact on the used vehicle market. There must always be a certain amount of difference between the price of a used vehicle and a new vehicle – otherwise the market doesn't work. DAT essentially sees a risk here that the effects on the used vehicle values for Tesla models could also have a significant impact on the general price level for used EVs. The DAT analysis, related to Germany, shows that the overall situation is complex. Unlike Tesla, other car manufacturers cannot or will not lower the prices for their new vehicles in the medium term. They may offer cheaper entry-level models with lower performance or fewer equipment items. Or they may subsidise their vehicles with cheap leasing rates, for example. However, as the costs of manufacturing an EV are still high, price reductions will always mean a significant loss of margin.