Germany should cut tax breaks and other subsidies on cars in order to stem the trend of rising carbon emissions in the transport industry, the Organisation for Economic Co-operation and Development said in a report.

Europe’s largest economy is among the world’s top ten emitters of carbon emissions, and transport is the country’s problem child. Emissions from cars, trucks, ships and planes rose 0.7% to 148 million tons in 2022 — the second consecutive increase after a pandemic-related dip — and are crucial in Germany’s bid to slash emissions by two thirds by 2030, compared with 1990 levels.

Germany should …