U.S. EV sales are growing, but not enough to offset gasoline cars. That is because sales of those vehicles are growing faster, in accordance with a brand new report.
Experian’s Automotive Market Trends report for the third quarter of 2023 showed that while electric cars now account for a bigger share of the U.S. vehicle fleet than they did just a few years ago, the dimensions of that fleet has grown overall—with gasoline cars accounting for many of that growth.
Despite EVs growing from 1 / 4 of a percent of the U.S. fleet in 2019 as much as greater than 1% of the fleet today, that hasn’t been enough to offset the expansion of gasoline models—since it only amounts to about 2.3 additional EVs nationally over those 4 years, while the gasoline fleet has increased by greater than that (even not including hybrids).
U.S. vehicle market share by propulsion type (via Experian)
During this time, the U.S. vehicle fleet grew from 279.2 million to 288.5 million vehicles, in accordance with Experian, however the variety of EVs included inside that only grew from 0.7 million to three.0 million.
And as a report from the International Energy Agency (IEA) Thursday underscored, oil demand into next yr stays strong. That said, EVs and hybrids are on a gentle trajectory to eventually offset gasoline models—in one other yr or two, perhaps.
EV sales are expected to make up about two-thirds of world automotive sales by 2030. And globally, internal-combustion vehicle sales peaked just a few years ago in accordance with Bloomberg.
2022 Porsche Taycan GTS Sport Turismo
Within the U.S., EV interest has stayed strong, nevertheless it’s lopsided. EVs are greater than a 3rd of the luxurious vehicle market while lower than 2% of the non-luxury market. As J.D. Power recently argued, there’s an unlimited “missing mass market” for EVs that is missing—not on account of a scarcity of demand but on account of a scarcity of product.
Experian is merely reporting the trends, not forecasting, so it declined comment regarding when it expects the fleet of gasoline vehicles to really be in decline within the U.S. But considering the common age of the vehicle fleet currently 12 to 13 years, it is likely to be several years.
Relating to reducing emissions, regulators could also be too focused on EV sales and never focused enough on retiring internal-combustion vehicles.
This Article First Appeared At www.greencarreports.com