You might have heard that the sky is falling on the EV growth curve, but the reality is that more people are buying them than at any point before. That said, J.D. Power’s recent research found that EV market share will fall slightly in May, the first time since the organization started the study in 2021.
The study found that 24 percent of car shoppers are “very likely” to consider an EV, down two points from the same time a year ago. That decline is due to shoppers’ concerns about charging availability, high prices, middling driving ranges, and the amount of time it takes to charge. Early adopters and strong incentives meant that EVs have been more challenging to find on dealers’ lots than comparable gas models, but that’s changing. J.D. Power said that EV availability has reached 54.3 on a 100-point scale, falling close to gas vehicles. EV adoption fell to a J.D. Power-scored 16.2, the lowest since late 2021.
At the same time, EV market share isn’t growing as quickly as their availability, making incentives more available and aggressive. It remains to be seen if the changes will drive sales higher, as the market is past the point of enthusiastic early adopters and people willing to deal with the hassles of more expensive new technologies.
None of this is to say that EVs are doomed or that the market should focus on other things, but it does raise questions about where things go from here. Automakers continue to struggle with affordability and profitability, and so far, none of them have actually delivered the “$30,000 EV” we were all promised.