Rental cars are slapped with Germany's 16% Value Added Tax (VAT), registration fee, and airport fees (but rates do include the required third-party liability insurance). These additional fees may equal up to 25% of the daily rental.
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In order to drive in Germany, you must be able to present a valid driver's license. Anyone with an appropriate permit can drive in the country. If you are a tourist and have a driving permit, go for it! Just note that in most cases you must be over 18 or 21 years old to rent a car.
By contrast, the cheapest place to rent a car is Montenegro, where it is only $59.40 per week, followed by Serbia where it is $82.39, Croatia at $107.47, Bosnia and Herzegovina at $113.32 and Guatemala at $157.03. Australia ranks at number 74 with a week's worth of car hire costing $715.94.
Rental car prices have been surging because demand is high and supply is low, both due to the coronavirus crisis and the chip shortage. To mitigate it, I should book as soon as I'm even *thinking* about traveling somewhere. I should also avoid certain locations (especially those near nature destinations).
The price rises are mainly caused by car rental companies having sold off much of their stock of vehicles during the pandemic as demand collapsed. Now, with people taking holidays again, they are trying to rebuild their fleets, but a global shortage of semi-conductors means they are paying more for new vehicles.
Car rentals cost more than they did a few years ago due to many different factors, but primarily because of supply chain issues related to the COVID-19 pandemic. As demand for rental cars fell, rental car companies sold segments of their fleets to stay in business during the lean times.
Uber does operate in quite a lot of German cities but also misses a lot of cities too. Thankfully, there is a list of what cities in Germany Uber operates in. The most popular cities to visit which Uber does operate in include Berlin, Hamburg, Cologne, Frankfurt and Stuttgart.