... overpriced and under-numbered infantry with the Panzergrenadier. 50 points per squad... You can get a Panzerschreck team that costs 75 points in this phase because they come in on a halftrack with a 37mm AT gun. If you were looking for cheap anti-tank, well, I'm sorry. Nothing in this deck is cheap.
You're ignoring the vehicles they come in, treating them like just one inseparable unit.
This pigeonholes yet another Axis team into trying to maintain long-range firing arcs with AT guns (which can get sniped by tanks and arty) and their own artillery.
You're ignoring the factions entire strength if you think they have to use infantry AT guns and play passively. Do you not know that AP increases by 1 for every 100m closer you are to a target? So those 35 point super speed light vehicles with 20mm cannons can suppress and destroy everything short of medium and heavy tanks all alone. A couple of them together can suppress the hell out of a medium tank and destroy it with flanking shots. They move 35km/h off-road! They shoot at planes! They fire on the move! They absolutely annihilate unarmored targets! You have two cards of 4x! And did I mention they're dirt cheap?
The captured S35 tanks are tactically inefficient since 6 frontal armor only blocks HE--there literally isn't anything in the Allied arsenal that can't penetrate it frontally apart from a few AA guns. 5 accuracy is nice but only 7AP means that it can barely hurt even tanks like Stuarts, and is completely ineffectual against anything better than that.
The s35 tank is extremely effective. Stuarts are the ones that struggle against the s35, not the other way around. The s35 is more accurate and has more frontal armor with the same AP compared to all the stuarts so far other than the 3rds 90 point stuarts, where it is still 1 accuracy better for 1 AP less. They still dominate light vehicles and infantry too.
Look at the Scotts. What can the scotts do to the s35 in Phase A? Their honey stuarts have 1 less accuracy and 1 less frontal armor for the same price. They can lob HE at it with a churchill support I guess? No, their only real option is the 6 pounder AT guns of which they can have 5 maximum, using up half of their AT slots for the entire game. They're forced heavily on the defensive right out the gate just by these tanks.
And those 6 pounders need wide open areas to function. If two 20mm halftracks drive around the corner 800m away and it picks one off, the other will suppress and probably destroy it.
I understand if you don't see AI matches as cause for balancing
AI really can't be used at all. It's extremely prominent in the case of this division.
Playing against the AI is all about countering the AI's cheats, their increased funds and availability. It's about units that are extremely cost efficient on defense and picking off their units that they rush at you suicidally. That's why you find infantry AT guns so effective. That AT gun you plop down in the woods at the start of the game will kill 500 funds worth of random stuff the AI keeps driving into it over the entire game.
That great aggressive push you make where you trade a 20mm halftrack for a stuart? That's excellent, in multiplayer. Against the AI, that's going even or even losing, depending on the difficulty.