Over a million electric vehicles sold in the US this year
TL/DR –
In 2023, Americans purchased a million fully electric vehicles (EVs) marking the first time that many EVs have been sold in the US in a year. The increase in sales is attributed to the increased variety of EV models available and the Inflation Reduction Act that offers tax credits for EV purchases. Despite the rise, EVs only accounted for 8% of all new vehicle sales in the US, far lower than in China where EVs made up 19% of all vehicle sales and globally, where EVs accounted for 15% of new passenger vehicle sales.
Americans Welcome Electric Vehicles, Hit Record Sales in 2023
In 2023, Americans bought a record one million fully electric vehicles (EVs). According to Bloomberg New Energy Finance’s report, over 960,000 EVs were sold up to October, reaching the million sales milestone by November.
Cox Automotive confirmed these figures, excluding plug-in hybrids from the count. The surge in EV sales was largely due to the growing diversity of EV models. By mid-2023, 95 EV models were on offer in the US, marking a 40% increase from the previous year.
Furthermore, the Inflation Reduction Act’s tax credits for EVs pushed sales higher. EVs made up 8% of total new vehicle sales in the US in the first half of 2023, a fraction compared to China’s 19%. Globally, EVs accounted for 15% of new car sales.
In the same period, China dominated the global EV market with 54% of sales, followed by Europe’s 26%. The US, despite being the third-largest EV market, only contributed 12%.
Bloomberg NEF data revealed that North America, including the US, produced more carbon emissions from road transportation than any other region. While global carbon emissions from vehicles continue to rise, EVs are expected to significantly impact these emissions later this decade.
Major automakers like Rivian, Hyundai, Kia, Mercedes-Benz, Volvo and BMW reported strong sales in the US market. Ford also reported record November sales, particularly for their F-150 Lightning electric truck model.
Despite reports of a slowdown in EV demand this year, the drop was minimal according to Corey Cantor, senior associate for electric vehicles at BNEF. He argued that the slight dip could be due to a shift from early adopters to more cautious average buyers.
Stephanie Valdez Streaty, director of industry insights at Cox Automotive, urged auto dealers to better educate their customers about the benefits and value of EVs.
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