U.S. electric vehicle (EV) sales have plummeted following the sudden removal of federal tax credits on September 30, 2025. According to Inside Climate News, EVs made up only 5.3% of new vehicle sales in November, less than half of the market share seen in September. Popular models experienced steep declines, with Ford’s Mustang Mach-E sales down 49% and the Hyundai Ioniq 5 down 59% compared to the previous year.
The sales collapse follows legislation signed by President Trump in July canceling the $7,500 incentive, which caused a temporary “boom” as buyers rushed to purchase cars before the deadline. Analysts expect this volatility to last into 2026.
However, experts argue the long-term trajectory for EVs remains positive. Peter Slowik of the International Council on Clean Transportation notes that fundamental economic drivers—specifically falling battery costs and increasing efficiency—will continue to push the industry forward. While the policy change hurts American automakers like Ford and GM most directly, the transition to electric drivetrains is still viewed as inevitable, with sticker-price parity with gas cars expected by 2028.
Read the full article on Inside Climate News:
