Contrary to some misconceptions, the electric vehicle (EV) marketplace has demonstrated robust growth year over year. Now, for the first time, we’re diving into the trends shaping the EV market share.
Long-Term Growth in EV Market Share
Analyzing sales data beginning in 2019, a clear upward trajectory in the market share of battery electric vehicles (BEVs) is evident. The increase in market share from 2022 to 2023 alone was significant, with a leap of 1.7 percentage points. This growth, though slightly less than the 2.5 percentage point increase from 2021 to 2022, demonstrates the enduring rise of EVs.
Dissecting Quarterly Sales
Delving deeper into the more granular quarterly data, we notice substantial progress. The market share saw considerable hikes from 4.8% in Q2 2022 to 6% in Q3 2022, and again from 6.7% to 7.5% between Q2 and Q3 of 2023. While Q4 of 2023 experienced a deceleration in growth, an atypical dip had occurred earlier in the year, marking a minor setback when market share unexpectedly dipped from 6.9% in Q1 2023 to 6.7% in Q2 2023.
However, this temporary decline set the stage for a rebound, ascending to 7.5% in Q3 and 7.8% in Q4, thus smoothing out the growth curve.
The Healthy Pulse of the EV Market
Inspection of this data reveals a thriving US EV market. The narrative of a decline in the growth of electric vehicles does not hold up against the empirical evidence. With projections indicating an even more promising Q1 in 2024, the future of electric vehicles is bright and undoubtedly on an upward trajectory.
