As more electric vehicles (EVs) are introduced to the market, EV adoption is growing significantly, and more brands and affordable models are available to the public.
Key Details
- EVs accounted for 7% of new vehicle registrations in the U.S. in January, up from 4.1% in January 2022, according to Axios.
- In 2022, 5.6% of all new U.S. car registrations were electric—a large jump from 3.1% in 2021 and 1.8% in 2020, but still far behind China and Europe.
- At the end of 2022, there were 47 EV models available for sale in the U.S., up from 33 in 2021, giving consumers more vehicles to choose from.
Why it’s news
The Inflation Reduction Act gives tax credits of up to $7,500 to consumers purchasing an EV, which has sent electric vehicle purchases rising.
Many Americans reported that one of the main reasons keeping them from switching to an EV was the price, so when the Act was introduced, it opened the door for more consumers to switch to electric.
To take advantage of the tax credits, many automakers started focusing on EV production, introducing new electric lines along with traditional gas-powered cars. With so many new EVs hitting the market, top EV seller Tesla is losing its colossal market share.
At the end of 2022, there were 47 electric models available for sale in the U.S., up from 33 in 2021, giving consumers more electric vehicles to choose from.
Tesla’s Model Y and Model 3 continue to hold the largest market share and are growing, but other EVs are quickly gaining ground on the electric giant.
Since January of last year, Tesla’s share of the EV market fell from 72% to 54% — and it is predicted to fall below 50% in the next couple of months, says Tom Libby, associate director of industry analysis at S&P Global Mobility.
General Motors’ Chevrolet Bolt is the most popular non-Tesla EV, with a 10% share, followed by Volkswagen’s ID.4 with a 4.5% share and Ford’s Mustang Mach-E with 4.1%.
More automakers are pushing for EV production, and it is expected that newer models will be introduced in the future, and the EV market share will continue to grow significantly.
The top 10 best-selling EV models, according to Axios…
- Tesla Model Y: 30.6%
- Tesla Model 3: 19.4%
- Chevrolet Bolt: 9.7%
- Volkswagen ID.4: 4.5%
- Ford Mustang Mach-E: 4.1%
- Ford F Series: 3.6%
- Tesla Model X: 3.2%
- Hyundai Ioniq 5: 2.1%
- Rivian R1T: 1.7%
- Mercedes-Benz EQS: 1.5%
