Veloz’s Q4 2023 EV Market Report is now available and shows strong annual light-duty EV sales growth in California, with a 29% increase in new EV sales from 2022 to 2023 and an 8.2% increase in new EV sales in Q4 2023 compared to Q4 2022. According to the California Energy Commission (CEC), a total of 103,127 light-duty EVs — including battery-electric vehicles (BEVs), plug-in hybrid electric vehicles (PHEVs) and fuel cell electric vehicles (FCEVs) — were sold in Q4 2023 despite total light-duty vehicle sales decreasing by 2.7% from 2022 to 2023.
California’s EV market share hit 25% for the year, compared to 18.84% in 2022, making 2023 a record-breaking year for the state’s EV goals. In the first quarter of 2023, California reached 1.5 million EVs sold several years ahead of schedule. State-wide adoption has seen rapid growth in part due to car and charging rebates and incentives, consumer education campaigns, and an influx of federal support.
Veloz members also saw positive overall EV sales growth in 2023. Notably, Toyota reported that EV sales surged 30% for the company, making up nearly one-third of total sales. Additionally, Ford reported an 18% increase in EV sales in 2023 and BMW hit its target of a 15% share of BEV sales in 2023.
The slight decrease in California EV sales at the end of last year is similar to sales declines seen in year’s past and may be attributed, in part, to higher interest rates in 2023. Currently, the average monthly payment for a new car is over $700, and $551 for a used vehicle, which mark an increase of up to 32% when compared to pre-pandemic prices. Monthly payments and down payments on new vehicles also hit record highs in Q4 of 2023.
Despite concerns over a slowing overall light-duty market, 2023 was still a record-breaking year for national EV sales. According to the California Air and Resources Board (CARB) California accounts for 34% of new EVs sold in the U.S. and, in 2023, the U.S. saw over 1.2 million new EV sales — a 43% increase from 2022.
As EV adoption continues to grow, so does the need for a reliable charging infrastructure. Charging infrastructure continued to see massive growth in 2023. In Q3, California reached its goal of installing over 10,000 fast chargers more than a year ahead of schedule. Nationally, the very first public EV charging station funded by NEVI opened in Columbus, Ohio in December 2023. The station is part of the Biden Administration’s work to build 500,000 plus chargers to connect to 79,000 miles of highway and roads.
With the national push toward improved charging infrastructure, federal and state incentives becoming more streamlined, tougher emissions standards being passed across the nation, increased make and model availability, and EV education aimed at breaking down consumer barriers, we anticipate U.S. market growth to continue.
Top 10 Selling EVs in Q4 2023:
- Tesla Model Y
- Tesla Model 3
- Tesla Model X
- Ford Mustang Mach-E
- Volkswagen ID.4
- Jeep Wrangler PHEV
- Rivian R1S
- Chevrolet Bolt EUV
- Toyota RAV4 Prime
- Mercedes EQB
For media inquiries, please contact Jennifer Newman, Veloz Communications Director, at Jennifer.Newman@Veloz.org.