Summary
– Despite talks of an “EV slowdown,” electric vehicle sales are still growing, with registrations up 3.8% in March
– Market share growth for EVs in the light vehicle market from 6.8% to 7.1% in March
– Tesla’s decline in registrations offset by other automakers like Hyundai and Ford seeing surges in EV registrations
– Hyundai and Ford strengthened their positions, with Ford claiming the number two spot and Hyundai seeing registrations double
– Other automakers such as Chevy, Toyota, and Lexus saw a decline in registrations below 1,000, while Nissan saw growth with its Ariya electric SUV
Article
Despite some concerns about an “EV slowdown,” sales of electric vehicles are continuing to grow, with EV registrations increasing by 3.8% in March. This growth was seen across several automakers, including Hyundai and Ford, as they experienced a surge in electric car sales. The market share of EVs in the light vehicle market also increased from 6.8% to 7.1% in March and electric vehicle registrations for the first three months of the year were up by 5.2% with a 6.9% market share.
Tesla, a market leader in EVs, saw a decline in registrations by 12% in March, affecting the overall segment. The company’s market share also decreased from 61.5% to 52.4% compared to the previous year. The new refreshed Model 3 from Tesla may have been a contributing factor to this decline, with a 53% drop in registrations. However, Tesla is optimistic about the potential for a comeback for the Model 3 later in the year.
Hyundai and Ford both experienced significant growth in EV registrations in March. Ford saw triple-digit growth in EV registrations, securing the number two spot in the market. The Mustang Mach-E and F-150 Lightning were among the best-selling electric vehicles in the market. Despite their success, Ford is scaling back on some EV initiatives, citing slower-than-expected demand. Hyundai doubled its EV registrations in March, setting new sales records with models like the IONIQ 5 and Kona Electric.
Luxury automakers BMW and Mercedes-Benz also saw double-digit growth in EV registrations in March, while Rivian, a newcomer in the EV market, experienced flat registrations in March but saw a 30% increase in the first quarter. Other automakers, such as Chevy, Toyota, Subaru, Fisker, and Lucid, saw varying levels of registrations below 1,000. Nissan saw an increase in registrations for its Ariya electric SUV, gaining ground in the US market.
Kia, Hyundai’s sister company, also saw a doubling of EV registrations, with their new EV9 making a significant impact in the market. Kia’s success is attributed to the affordability and efficiency of their electric vehicles. Hyundai, on the other hand, remains fully committed to selling EVs in the US, with plans to open a dedicated EV and battery plant in Georgia later this year. The company aims to provide buyers with more range, faster charging, and unique designs to build confidence in purchasing an EV.
With new and exciting models entering the market, such as the Volvo EX30 and Chevy Equinox EV, the momentum for electric vehicles is expected to continue in 2024. Automakers are divided on the future of the EV market, with some foreseeing continued growth while others are scaling back on EV initiatives due to slower-than-expected demand. Despite challenges, the overall trend of increasing EV registrations and market share indicates a positive outlook for electric vehicles in the automotive industry.
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