According to data from Wards Intelligence, sales of hybrid, plug-in hybrid, and battery-electric vehicles (BEV) reached 17.7% of new light-duty vehicle sales in the US in Q3 2023. Hybrid (HEV’s), plug-in hybrid (PHEV’s), and BEV’s sales made up 16.0% of all new light-duty vehicle sales in the US this year, up from 12.5% in 2022 and 9.0% in 2021.

Fundamental Market Influences: Lower cost to purchase alternate fuel vehicles, accelerating price drops, powerful incentives, lower cost of ownership, and closing cost difference of ICE and BEVs (and PHEVs) are bringing an extraordinary transition to alternative fuel vehicles.

Data source: Wards Intelligence

There has been a significant increase in the sales of hybrid, plug-in hybrid, and battery-electric vehicles (BEV) in the United States, illustrating the growing popularity and acceptance of EV’s and PEV’s. According to the data provided by Wards Intelligence, these types of vehicles accounted for 17.7% of all new light-duty car sales in Q3 2023.

This trend signifies a shift in consumer preferences towards more sustainable and environmentally friendly transportation options. It also highlights the advancements in technology and infrastructure that have contributed to the wider adoption of electric vehicles. As the market continues to evolve and more electric models become available, we can expect to see further growth in the sales of hybrid, plug-in hybrid, and BEV vehicles in the coming years.

The share of total light-duty vehicle sales for hybrids, PHEVs, and BEVs rose due to both a decline in sales of non-hybrid gasoline- and diesel-fueled vehicles and an increase in sales of several existing BEV models. Lower prices for BEVs across the most popular models added to the rise in third-quarter sales. In Q3, the average price of BEVs dropped by 5% to $50,283, marking a 24% decrease from the Q2 2022 peak. The average price of all light-duty vehicles decreased by less than 0.5% during that period. The prices of BEVs are now only $3,000 away from the average transaction price for light-duty vehicles.

Data source: Kelley Blue Book

Further Notes:

Sales of BEVs in the luxury category continue to dominate, reaching 34% of the total luxury vehicle market in Q3 but remaining below 2% in the non-luxury vehicle market. In terms of powertrain types, luxury vehicle sales represented 83% of all BEV sales and 13% of non-hybrid gasoline or diesel vehicles, in contrast to 19% of the total light-duty vehicle market. Wards Intelligence categorizes over two-thirds of the current BEV models offered by manufacturers as luxury vehicles.