- Individuals purchased 27% fewer electrical automobiles (EVs) within the first quarter of 2026 than throughout the identical interval in 2025.
- A pointy gross sales decline started final yr when the federal authorities ended a $7,500 tax rebate for EV consumers, however the decline could also be leveling off.
Individuals purchased 216,399 EVs within the first quarter of 2026 – 27% fewer than within the first quarter of 2025.
The drop got here principally as a result of finish of a $7,500 federal tax credit score on EV purchases. However the flight could also be leveling out after a plunge. Kelley Blue E book information discovered Q1 gross sales simply 7.8% decrease than within the fourth quarter of 2025.
EVs accounted for five.8% of all new automotive gross sales in Q1, unchanged from This autumn 2025.
They peaked at 10.6% of the market in Q3 of 2025 as Individuals rushed to say the credit score earlier than it vanished.
Outdoors the U.S., EV gross sales proceed to speed up. The Worldwide Power Company estimates {that a} quarter of automobiles offered worldwide final yr have been electrical. That leaves automakers in a difficult place, attempting to compete in each a world market that’s shortly embracing EVs and an American market that’s taking its time.
Some, like Honda, have responded by dramatically chopping again on EV plans within the U.S. Others, like Hyundai, are pushing forward with expanded EV lineups alongside gas-powered automobiles to be prepared for a day when U.S. EV gross sales recuperate and develop.
“The U.S. EV market has clearly entered a brand new section,” mentioned Stephanie Valdez Streaty, director of trade insights at Kelley Blue E book dad or mum firm Cox Automotive
“With federal incentives gone, the primary quarter mirrored a crucial reset — gross sales slowed and market share shifted. What comes subsequent shall be pushed much less by coverage and extra by fundamentals: extra reasonably priced merchandise, smarter pricing methods, and continued funding in infrastructure. These longer-term fundamentals proceed to assist EV progress. The timeline has shifted, however the route hasn’t.”
The Prime 10
One out of each three EVs offered in Q1 was a Tesla Mannequin Y, the standard market chief. Cadillac, Lexus, and Toyota all make their first appearances within the high 10.
| Rank | Mannequin | Q1 2026 Gross sales |
| 1 | Tesla Mannequin Y | 78,591 |
| 2 | Tesla Mannequin 3 | 31,672 |
| 3 | Toyota bZ | 10,029 |
| 4 | Hyundai Ioniq 5 | 9,790 |
| 5 | Chevrolet Equinox EV | 9,589 |
| 6 | Rivian R1S | 5,494 |
| 7 | Ford Mustang Mach-E | 4,600 |
| 8 | Lexus RZ | 4,456 |
| 9 | Tesla Cybertruck | 3,519 |
| 10 | Cadillac Lyriq | 3,370 |
