Wait until January or rush to buy? This time the decision on a new car is particularly complicated

The postponement of the purchase tax hike on electric vehicles gives buyers a reprieve, but rising gasoline prices and the expected update to the green tax could drive up prices of other models. Against the backdrop of the ongoing price war among Chinese brands and the shekel's depreciation, here's how to know whether to buy now or wait.

As 2026 draws to a close, new car buyers in Israel face a particularly complex dilemma: buy now or wait for 2027. The article reviews the factors influencing the decision. On one hand, the postponement of the purchase tax hike on electric vehicles until February 10, 2027, removes the immediate pressure to buy electric cars. On the other hand, the expiration of the fuel excise subsidy at the end of October, along with rising global oil prices, could send fuel prices soaring and increase demand for electric vehicles. Additionally, the update to the 'green tax' formula in January 2027 is expected to raise prices by thousands of shekels for gasoline, diesel, hybrid, and plug-in models, especially cheaper and hybrid ones. Conversely, the flooding of the market with Chinese cars and the expected price war among Chinese brands in the first quarter of 2027 may mitigate the price increases. The weakening of the shekel against the dollar and euro increases import costs and makes it harder for importers to absorb price hikes. The article concludes that the decision varies from case to case and depends on the type of powertrain, country of manufacture, and geopolitical developments.