Though the growth in demand for EVs hasn’t quite met expectations as of late – prompting some automakers, like Ford, to scale back or delay planned investments in that area – EV sales continue to grow, regardless. In fact, Ford EV sales were second only to Tesla in both 2022 and 2023, grew by 15 percent in Q3 2023, and then, set a new record in Q4 2023 at 72,608 units, which represents a nearly 18 percent year-over-year increase. However, it isn’t just Ford that enjoyed a solid year of EV sales, as the overall market set its own new personal record in 2023 as well, according to data from Cox Automotive.
Total U.S. EV sales reached 1,189,051 units in 2023, which is the most in history thus far, while EV share grew from 5.9 percent to 7.6 percent of the total market as well. Those figures also increased throughout the duration of 2023, cresting in Q4 with sales of 317,168 units, which equates to 8.1 percent of the total U.S. new car market, as well as a 40 percent increase, year-over-year.
However, it is worth noting that EV sales growth did slow a bit after increasing by 49 percent in Q3, while in Q4 2022, sales of those types of vehicles rose by 52 percent. Looking ahead, Cox Automotive predicts that this slower growth will continue in 2024, but guesses that all-electric vehicles will account for 10 percent of all new vehicles sold by the end of the year.
In terms of individual brands, Tesla continues to dominate the market with a 55 percent share, though that number dropped from 65 percent in 2022. This was to be expected given the increasing presence of competition from legacy automakers and other newer EV-only companies, most of which grew their own sales in 2023. However, Ford ranks a bit behind other automakers in terms of EV sales mix at 3.8 percent, compared to BMW and its 12.5 percent mix, for example.