US car buyers are embracing electric vehicles (EVs) at an unprecedented rate, leading some states to temporarily pause EV incentives designed to promote adoption. According to data from Cox Automotive, total US auto sales fell 8% year-over-year (YoY) from 2021, but EV sales climbed 65%, passing 800,000 in volume for the first time.
The trend is continuing into 2023, with EV sales breaking another record in Q1, surpassing 250,000 and claiming over 7% of total US auto sales. The surge in demand is due to several factors, including increased availability of EVs from Tesla and other automakers, as well as federal incentives such as the EV tax credit extension from the Inflation Reduction Act. States and utility companies also offer additional incentives, ranging from a few hundred dollars up to several thousand.
However, the overwhelming demand has caused some states to pause their incentive programs. New Jersey is the latest state to temporarily suspend its rebate program after running out of money due to its popularity. The state’s “Charge Up New Jersey” program gives residents up to $4,000 in incentives to purchase or lease a new electric vehicle. Oregon is also pausing its popular rebate program due to more buyers going electric than expected.
Analysts are forecasting EV sales will surpass 1 million for the first time in 2023, and with 250,000 electric vehicle sales in Q1, the US is well on its way toward 1 million EV sales this year. The federal government is aiming for 50% of all new vehicle sales to be electric by 2030, up from around 7% in the first quarter of 2023. As demand continues to rise, more states may need to pause their incentive programs in order to keep up with the demand.
FAQ
Q1. When will electric cars be available in the UK?
A1. Electric cars are already available in the UK and can be purchased from a variety of dealerships.
Q2. Where can I find electric car charging stations near me?
A2. You can find electric car charging stations near you by using online maps or apps such as PlugShare or ChargePoint.
Q3. Which electric car is the best?
A3. The best electric car depends on your individual needs and preferences. Some popular models include the Tesla Model 3, Nissan Leaf, and Chevrolet Bolt EV.
