Summary
- Record number of consumers shifted to EVs in Q3 2024 due to attractive lease deals, incentives, and expanding charging network
- US automakers sold 346,309 EVs in Q3, accounting for 8.9% of total auto sales
- Leasing continues to drive EV sales with 42.7% of all EVs leased compared to 22.2% of combustion vehicles
- Tesla sales rebounded in Q3 thanks to Cybertruck deliveries, becoming the third best-selling EV in the US
- General Motors is now America’s second best-selling EV brand, with Hyundai in third and Ford in fourth. Cox Automotive remains optimistic about further growth in EV sales.
Article
The third quarter of 2024 saw a record number of consumers purchasing electric vehicles (EVs) in the US, with sales reaching 346,309 units, a 5% increase from the previous quarter. EVs accounted for 8.9% of total auto sales, the highest percentage on record, indicating a gradual shift towards combustion-free vehicles. Factors such as attractive lease deals, manufacturer incentives, and an expanding charging network contributed to the rise in EV sales, with analysts predicting even greater adoption in the coming years as more affordable EVs enter the market.
Leasing has been a key driver of EV sales, with the average transaction price for an EV surpassing $57,000, significantly higher than the industry-wide average for combustion vehicles. Dealers have been offering tax credits to buyers at the point of sale, making leasing an attractive option for consumers looking to avoid high upfront costs. As a result, 42.7% of all EVs have been leased in the first seven months of 2024, compared to only 22.2% of pure combustion vehicles, highlighting consumer preference for leasing EVs to mitigate concerns about resale values.
The expanding charging infrastructure in the US has also played a crucial role in boosting EV sales, with over 1,000 new chargers being added each week. Tesla’s robust Supercharger network has been a significant contributor to making EV ownership more convenient for drivers. Additionally, Tesla’s sales rebounded in the third quarter, driven by deliveries of its Cybertruck, a unique vehicle with stainless steel body panels that stands out in terms of design and architecture. Tesla’s Cybertruck outsold Ford’s Lightning EV, making it the third best-selling EV in the US behind the Model Y and Model 3.
In terms of overall industry performance, Tesla remains the best-selling EV brand in the US, followed by General Motors, Hyundai Motor Group, and Ford Motor Company. General Motors has emerged as the second best-selling EV brand, highlighting the growing competition in the market. Analysts at Cox Automotive are optimistic about the future of EV sales in the US, expecting further growth in the coming months with more product offerings, sales, discounting, and curious buyers entering the market. With improving infrastructure, a wider range of choices, and attractive deals, EV sales are expected to continue to increase, with a 10% market share within reach.
Overall, the surge in EV sales in the third quarter of 2024 reflects a growing trend towards sustainable transportation in the US. Factors such as attractive lease deals, incentives, and an expanding charging network have driven the adoption of EVs, with consumers increasingly opting for environmentally friendly vehicles. As the market continues to evolve and more affordable EV options become available, the growth of EV sales is expected to accelerate, paving the way for a cleaner and more sustainable future in the automotive industry.
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