Electric vehicles claimed 8.1% of U.S. sales in 2024—a record year

Yes, electric vehicle sales in 2024 didn’t quite meet the sky-high projections of a few years ago. But EVs still made up a record 8.1% of U.S. new-car sales last year, with 1.3 million units sold, according to Cox Automotive. That’s growth—and it’s steady, even if not as explosive as some hoped.

The fourth quarter of 2024 was particularly strong, with 365,824 EVs sold—a 15.2% increase from the same period in 2023 and the highest-ever quarterly total. End-of-year discounts and aggressive financing offers fueled demand, along with fears that the incoming administration might roll back federal EV tax credits.

Tesla continues to dominate the EV market. 

• The Model Y and Model 3 alone accounted for more than 40% of all EVs sold last year, helped by Tesla’s industry-leading Supercharger network and sharp price cuts. 

• And the EV maker’s much-hyped Cybertruck, grabbed the title of top-selling electric pickup—edging out the Ford F-150 Lightning.

• But estimates suggest Tesla’s U.S. sales were down by about 37,000 units in 2024.

Zooming in: Hyundai climbed to the second spot in U.S. EV sales, led by the strong performance of the Ioniq 5, while General Motors and Honda added nearly 80,000 units to their combined EV totals last year.

• Honda’s standout model was the Prologue—selling over 33,000 units its debut year. 

• The Ford Mustang Mach-E held steady as the best-selling non-Tesla EV, bolstered by new trim options and compatibility with Tesla’s charging network.

What’s trending: The U.S. EV market now hosts 68 mainstream models, and the competition is fierce. Twenty-four models saw year-over-year sales gains in 2024, while 17 new ones hit the market. However, 27 models lost ground, including discontinued offerings like the Chevrolet Bolt and Mazda MX-30. 

The elephant in the room: Federal policies have been a driving force behind U.S. EV adoption, offering tax credits, manufacturing subsidies, and grants for charging infrastructure. But that landscape could shift dramatically under President-elect Donald J. Trump, who has vowed to cut much of the financial support for EVs and reverse emissions regulations.

• Analysts from Stanford University warn this could reduce annual EV sales by as much as 300,000 units. 

• Yet many auto experts believe the transition to electric vehicles is inevitable. The benefits—fast acceleration, home charging, lower maintenance costs—are too compelling for many buyers, even without subsidies.

Looking ahead: The EV market’s trajectory remains upward, but its pace will depend on several factors. Automakers are preparing to launch over 15 new EV models in 2025, and improving charging infrastructure will likely encourage hesitant buyers. 

• Cox Automotive forecasts EVs could hit 10% of all U.S. vehicle sales next year.

Bottom line: While policy changes could disrupt momentum, consumer demand and technological advancements suggest that EV adoption isn’t slowing down—it’s just finding a more sustainable speed.

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