Market Trends of us electric car Industry
Passenger Car Will Dominate The Market In Coming Year
- The electric vehicle (EV) market in the United States broke records in 2021, estimated at just under 607,600 light electric vehicle sales. This was approximately 83 percent more than in 2018-the year which marked the beginning of strong demand for Tesla's Model 3. The sedan is one of the best-selling electric vehicles on the U.S. market to date.
- Tesla continues to dominate the United States EV market, with an estimated 302,000 electric vehicles sold in the United States in 2021. However, competition is beginning to gain momentum, and manufacturers such as General Motors are continuing to add new EV models into their range of vehicles offered.
- Chevrolet's Bolt made it into the list of best-selling electric vehicle models in 2021. The model recorded its second largest sales volume that year, just under its sales in 2017-the year the model launched. General Motors intends to only sell zero-emission vehicles by 2035 and was already one of the global plug-in EV market leaders in 2021.
- While Tesla dominated the plug-in electric vehicle market in 2021, it was also followed closely by the Volkswagen Group, whose worldwide electric vehicle sales soared that same year. Overall, manufacturers were looking to increase their research and development expenditure, with electric mobility at the forefront of their investments. This was in part motivated by the United States government's commitment to half of all vehicle sales to be zero emission by 2030.
- In the United States, the minimum annual average fuel cost of all-electric light-duty vehicles was around 550 United States dollars cheaper than gasoline vehicles in 2021, and 1,150 United States dollars more affordable than diesel internal combustion engine vehicles. Considering the above analysis the United state electric market will continuoslly grow in coming year.
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Straightening The Vehicle Emission Law Will Drive the Market in Coming Year
- Many US states provide numerous attractive incentives to encourage consumers to adopt electric vehicles (EVs). These incentives include free parking, low or zero registration fees, toll reductions, and the convenience of accessible charging infrastructure at various charging stations.
- For instance, California offers discounts on lightweight zero-emission cars and plug-in hybrid electric vehicles (PHEVs), with an additional USD 2,000 incentive for low-income families. In addition, Washington and New Jersey exempt electric cars from vehicle sales and usage taxes. Similarly, Louisiana and Maryland provide tax credits of up to USD 2,500 and USD 3,000 per vehicle, respectively. These factors are expected to drive the growth of the electric vehicle market.
- To reduce carbon emissions from the automotive sector, the US government has implemented strict regulations, and several states are moving towards adopting zero-emission vehicle (ZEV) regulations to promote the adoption of electric cars. In 2020, states with ZEV regulations accounted for about two-thirds of the overall EV sales.
- As a result of these regulations and incentives, automakers have significantly increased their investment in research and development activities to meet electrification objectives. For instance, General Motors has committed to ceasing the production of gasoline-powered sport utility vehicles (SUVs), vans, and passenger cars by 2035, promising a future of new electric cars for American customers.
- This marks a historic turning point for the iconic American carmaker. Consequently, the stringent emission norms are expected to drive the growth of US electric vehicle sales during the forecast period
