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Micro’s Microlino battles Swiss EV incentive rules

Financial Times Companies •
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Swiss entrepreneur Wim Ouboter, founder of Micro Mobility Systems, has filed a formal challenge against Switzerland’s carbon‑trading scheme after his Microlino electric bubble‑car was excluded from emissions incentives. The micro‑car, built in Turin and inspired by the 1950s Isetta, falls under the “motorcycle” class, disqualifying it from the “passenger‑car” credit system that benefits larger EV makers such as Tesla.

Micro generates roughly SFr70mn ($87 million) annually, channeling scooter profits into the Microlino line, which has sold several thousand units across Europe. Under Swiss law only passenger cars earn carbon credits that importers of gasoline models must purchase; motorcycles are omitted. Ouboter argues the rule was drafted for big manufacturers and threatens to relocate production to China if it stays unchanged.

The challenge is led by lawyer Cordelia Bähr, who secured a 2024 European Court of Human Rights ruling linking Switzerland’s emissions shortfall to citizens’ rights. Bähr says no technical basis exists for excluding low‑emission Microlinos, which also miss EU “super‑credits” for cars made in Europe. The government warns widening the scheme could dilute CO₂ standards by admitting cheap imports.

Priced at €15,000‑€22,000, the Microlino sits above typical city‑car costs, a gap Ouboter claims would shrink if it qualified for the same incentives as larger EVs. He estimates unit production could drop from €13,000 to €7,000 with Chinese manufacturing, a shift backed by up to €20 million offers. Without regulatory relief, the bubble‑car’s niche market may remain limited.