Hybrids break sales records in the US in Q3, EVs also on the rise

The third quarter of 2024 sales results reveal a fascinating dynamic in the US electric vehicle market. The overall market share of EVs went down from 7.4% to 7%, despite Americans buying more EVs than in the previous quarter. There was a bit of a change in the landscape of electrified car sales, with hybrid vehicles playing an increasingly important part.

Over 346,000 EVs were sold through the third quarter of 2024, a 5% increase over 2023, and EVs accounted for 8.9% of all new car sales, up from 7.8% last year. Much of this growth can be attributed to the increasing affordability of EVs, with the average price before incentives in Q3 sitting at just over $56,350, 16% higher than the national average.

The real surprise came from reglar hybrids, which surged in popularity and captured a record 10.8% of the entire US light-duty vehicle market. This contributed to an overall increase in the share of electrified vehicles, which includes hybrids, plug-in hybrids, and EVs.

Tesla is still the undisputed EV king, holding nearly half (48.8%) of the market share. General Motors, Hyundai, and Ford trail far behind, but Ford is actually showing signs of a strong comeback. The automaker recorded a record-breaking November, with sales reaching 11,000 units, a 21% increase year-over-year.

Another trend is the growing dominance of North American-made EVs in the US market. Reports suggest that 78.9% of all EVs sold in the US in Q3 were manufactured in North America. This is likely due to the revised criteria of the Inflation Reduction Act, with more EVs qualifying for the $7,500 federal tax credit.

With a new political landscape and ongoing concerns about affordability and charging infrastructure, the growth of the EV market is a hot topic. The end-of-year data will provide better insights into the market's resilience and the long-term impact of policy changes and consumer preferences.

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