US electric vehicle sales increased in 2023 with Tesla as market leader, says report

Electric vehicle (EV) sales in the U.S. have increased to a new record with 1.2 million units in 2023, reveals a market research report from Cox Automotive.

There are a total of 1,189,051 new EVs registered in the United States. It is a 7.6% of the overall electric vehicles sold throughout the past year and a 5.9% increase from 2022.

The fourth quarter EV sales in the US achieved volume 317,168 units and the share rose over 8.0% quarter over quarter.

Q4 EV sales increased by 40% year over year and improved from 49% market share in Q3. In terms of volume, 5000 EVs added up in the tally for the Q4 2023 sales record compared to Q3.

2023 counts as another year for EVs to show progress but the vehicle remains expensive for broad vehicle buyers that opt for fuel-engine cars and other types of EVs.

Kelley Blue Book, a Cox Automotive company, estimated that the average price paid for a new EV was $50,789.

“Shifts in tax incentives will both help and hurt buyers in the year ahead – fewer vehicles now qualify, but the ability for dealers to apply for any tax credits at the point of sale will help. Generally speaking, shoppers are still hard-pressed to find a new EV with a manufacturer’s suggested retail price below $40,000.” wrote the researcher.

Tesla Remains Leader:

Tesla remains the sole leader in electric vehicle sales in the U.S. with over 55% market share in 2023. Yet, it’s declined 65% year over year as compared to a year earlier.

Still, the EV maker keeps on selling record cars including 1.81 million global shipments. Specifically in the U.S., Model Y solidified its dominance with 33% of all EVs sold in 2023.

Others:

Aside from Tesla, legacy car giants are also raising competition in the EV industry and capturing the attention of new EV and PEB consumers including BMW, Volkswagen, Audi, Volvo, Porsche, Genesis, Hyundai, Cadillac, Kia, Ford, and more.

US electric vehicle sales 2023 (Source – Cox Automotive)

2024:

The outlook for this year would be based on pricing, so EV makers may also try to bring suitable models to allure the customers and increase market demand.

(source – CoxAutomotive)