EV Share of USA Auto Market Drops to 7.4%, Fossil Fuel Vehicle Sales Rise

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Continuing our series on US auto sales and US EV sales in the second quarter of 2025, we now get to a short post but a big one. The whole idea of “cleantech” is technology that will help cut pollution, especially CO2 emissions, but also air pollution that is extremely harmful to human health. So, big figures with regard to EV (electric vehicle) sales are 1) what share of overall auto sales are EV sales, and 2) getting more to the point, how many fossil-fueled vehicles are put onto the market — leading to pollution for many years to come.

EV share of the overall US auto market dropped to 7.4% in the second quarter, down year over year from 8.1% in Q2 2024, and also down quarter over quarter from 7.6% in Q1 2025. That’s not good…. 7.4% EV market share is the worst its been since Q1 2024 when the share was 7.2%.

The EV market will surely rebound in Q3 2025 as people rush to buy electric vehicles before the US EV tax credit expires, but then it will no doubt crash in Q4.

Looking at trends across the overall US fossil-fueled vehicle market, we can see that sales are up year over year (3% higher), up compared to two years ago (also by 3%), and up a great deal compared to Q2 2022 (+14%). They are down considerably (-14%) compared to Q2 2021. Though, admittedly, 2021 was an odd year for the auto industry. There was a surge in sales back then as markets rebounded from COVID-19 lockdowns and supply chain challenges.

Overall, growing fossil fuel vehicle sales and declining EV sales are not positive trends for the US auto market, but hopefully they are just a blip and we will get back on track soon.