The US EV market closed out 2024 on a high note despite swirling uncertainty about the future of federal tax incentives. Cox Automotive’s newly released Q4 data shows a record 365,824 EVs sold – up 15.2% from the previous quarter – and annual EV sales of 1.3 million, a 7% increase from 2023.
We spoke with Stephanie Valdez Streaty, strategic planning director at Cox Automotive, about how these strong numbers underscore growing consumer interest in electrified transportation, even as key federal policies remain in flux.
Electrek: What role is leasing playing in growing EV adoption?
Stephanie Valdez Streaty: Notably, we continue to see leasing serve as a prime pathway for EV adoption. With purchase incentives subject to a variety of eligibility rules, many consumers have gravitated toward EV leases instead.
This “leasing loophole” has fewer restrictions, making it a particularly attractive option for those models that do not qualify for the full purchase tax credit.
In recent months, leasing rates have surged as automakers and dealers encourage consumers to take advantage of lower monthly payments, reduced risk of depreciation, and immediate federal subsidies funneled through the lessor.
While it’s difficult to tease out exactly how fears of expiring incentives fuel these numbers, there is little doubt that the current federal tax structure is helping put more EVs on the road.
Electrek: Which new EV models are driving sales growth, and what barriers are still slowing widespread adoption?
Stephanie Valdez Streaty: As always, Tesla’s Model 3 and Model Y continue to lead the pack, but Q4 data shows other models rapidly gaining ground.
Honda’s new Prologue vaulted to the No 3 spot for the quarter after launching in April, buoyed by strong brand recognition and pent-up demand.
Meanwhile, Chevrolet’s Equinox and Blazer EVs – delayed earlier by software issues – also contributed to higher sales once they came fully online.
Price remains the single biggest barrier for would-be EV buyers, and truly sub-$30,000 EVs are still scarce in the US market. Yet, with lower-priced models on the horizon – such as potential updates to the Chevrolet Bolt and new entries like the Kia EV3 – manufacturers are working to broaden consumer choice at more affordable price points. The arrival of these options in late 2024 and 2025 may help sustain the upward sales momentum.
Electrek: If the $7,500 federal Inflation Reduction Act EV tax credit is canceled by the Trump administration, what role could states play in terms of incentives for consumers?
Stephanie Valdez Streaty: Much of the future of EV adoption may hinge on the policy environment. In some states, generous incentives have significantly accelerated the shift to electric mobility. Colorado, for example, has combined its own rebate program with federal tax credits, making EV ownership increasingly accessible –and the state has seen one of the US’s highest jumps in EV adoption over the past year.
Meanwhile, California remains the largest single EV market, thanks to stricter emissions standards, robust incentives, and a strong charging infrastructure network. Many other states are now following suit by adopting California’s Zero-Emission Vehicle (ZEV) standards – effectively matching or exceeding federal requirements for EV adoption.
If federal consumer tax credits were to shrink or disappear, analysts suggest that more states could step in to fill the gap with their own subsidies. Whether or not they do, though, may largely depend on budget constraints and each state’s broader clean energy goals.
Electrek: How could the cancellation of the $7,500 EV tax credit impact the wider EV industry, such as manufacturing?
Stephanie Valdez Streaty: Billions of dollars in EV and battery-manufacturing investments have already flowed into the US, often into states with historically lower EV adoption rates. As these new plants come online, they will require a healthy level of consumer demand to reach scale. That reality ties the fortunes of federal incentives, state policies, and local economies more tightly together. If incentives vanish abruptly, these investments might be underutilized, potentially cooling the pace of the entire EV market.
Electrek:What are your predictions for the US EV market in 2025 and beyond, despite the lack of policy support from the Trump administration?
Stephanie Valdez Streaty: Looking ahead, the near-term forecast remains positive. Industry analysts project about a 10% EV market share by 2025, helped by the continued rollout of new models (up to 15 more hitting showrooms in the next year or two) and an improving charging network. Still, the growth rate will likely slow somewhat compared to the initial surge – typical of any maturing technology – and hinge on consumer confidence, price parity with gas-powered cars, and the reliability of fast-charging infrastructure.
The US still lags behind countries like China, where strong government policy and an abundance of competitively priced EVs have led to even faster adoption. However, the global trend toward electrification is unmistakable, and even if the US road has a few detours – whether in the form of changing incentives, evolving emission rules, or shifting consumer tastes – the trajectory is clear: EVs are well on their way to becoming a fixture of the American automotive landscape.
Ultimately, how quickly we get there depends on a confluence of factors, including continuing incentives, state-level action, and industry innovation. One certainty is that consumer awareness and acceptance of EVs will keep climbing, with new models, better infrastructure, and flexible financing options pushing the technology further into the mainstream. The destination is electric; the timetable, however, still hinges on what policymakers decide in the months and years ahead.
Click below to find a local dealer that may have the following EV models in stock (trusted affiliate link):
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Hyundai’s first three-row electric SUV is finally here, and it’s even better than we expected. The IONIQ 9 arrives with “class-leading” interior space, up to 335 miles of range, and much more. Hyundai is showing off just how spacious the IONIQ 9 really is.
Hyundai highlights how spacious the 3-row IONIQ 9 is
It’s been less than two months since the first IONIQ 9 models rolled off the assembly line at Hyundai’s massive new manufacturing plant in Georgia.
With its first three-row electric SUV about to reach dealerships any day, Hyundai wants you to know that the IONIQ 9 is spacious enough for just about anyone.
“The IONIQ 9 is more than just a vehicle; it’s a space where life happens,” Hyundai Motor America’s marketing chief, Sean Gilpin, explained.
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Hyundai launched a new ad campaign on Friday, ” Space to Connect, ” to highlight the SUV’s class-leading interior space.
With the second and third-row seats folded, the IONIQ 9 boasts up to 2,462 liters (87 cubic feet) of interior cargo space. That’s even more than the 2025 Ford Explorer with up to 2,429 liters (85.8 cubic feet). With all seats upright, the IONIQ 9 still has 620 liters of cargo capacity.
It’s not only spacious, but the IONIQ 9’s interior is packed with Hyundai’s most advanced software and connectivity tech.
As part of a curved panoramic display, the infotainment system includes dual 12″ driver display and infotainment screens.
Earlier this month, Hyundai announced that the 2026 IONIQ 9 will start at $58,995. With a $1,600 destination fee, the base RWD S model, which has a range of up to 335 miles, also starts at $60,555.
For $64,365 (including destination), you can upgrade to the AWD SE model with 303 horsepower and 320 miles range. Meanwhile, the range-topping IONIQ 9 AWD Performance Calligraphy Design trim, which gets added Matte paint, 21″ wheels, and 311 miles driving range, starts at $78,090.
2026 Hyundai IONIQ 9 Model
EV Powertrain
Drivetrain
Driving Range (miles)
Starting Price (including destination fee)
IONIQ 9 RWD S
160-kW (215-HP) Electric Motor
Rear- Wheel Drive
335
$60,555
IONIQ 9 AWD SE
226.1 kW (303-HP) Dual Electric Motors
All-Wheel Drive
320
$64,365
IONIQ 9 AWD SEL
226.1-kW (303-HP) Dual Electric Motors
All-Wheel Drive
320
$67,920
IONIQ 9 AWD PERFORMANCE LIMITED
314.6-kW (422-HP) Dual Electric Motors
All-Wheel Drive
311
$72,850
IONIQ 9 AWD PERFORMANCE CALLIGRAPHY
314.6-kW (422-HP) Dual Electric Motors
All-Wheel Drive
311
$76,590
IONIQ 9 AWD PERFORMANCE CALLIGRAPHY DESIGN
314.6-kW (422-HP) Dual Electric Motors
All-Wheel Drive
311
$78,090
2026 Hyundai IONIQ 9 prices and driving range by trim (*including a $1,600 destination fee)
The IONIQ 9 has a native NACS port to access Tesla Superchargers. Using a 350 kW DC fast charger, it can charge from 10% to 80% in as little as 24 minutes.
While you wait for the three-row IONIQ 9, Hyundai’s smaller IONIQ 5 is currently on sale. With leases starting at just $209 per month, the IONIQ 5 is hard to pass up right now. You can use our link to find Hyundai IONIQ 5 models at a dealer near you today.
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Federal tax credits are starting to waver under the current administration, but as of May 2025, you can still take advantage of up to $4,000 off the purchase of a used EV. If you’d rather not listed to me talk, you can skip right to all the BEVs and PHEVs that currently qualify by clicking here.
How the current tax credit works for used EVs
As part of revised terms in the Inflation Reduction Act signed by President Biden, federal tax credits have been extended (for now) and include revamped benefits for used EV purchases. That said, your used EV purchase must fit certain criteria to qualify for a credit up to $4,000. Per the IRS:
Beginning January 1, 2023, if you buy a qualified previously owned electric vehicle (EV) or fuel cell vehicle (FCV) from a licensed dealer for $25,000 or less, you may be eligible for a previously owned clean vehicle tax credit under Internal Revenue Code Section 25E.
Used EVs face terms that offer a credit equal to 30% of the sale price (up to $4,000). That should help consumers like yourselves get some change back in their pockets at the end of the fiscal year, as long as you stick to these terms as outlined by the IRS.
To qualify as a customer, you must:
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Be an individual who bought the vehicle for use and not for resale
Must be an individual (no businesses)
Not be the original owner
Not be claimed as a dependent on another person’s tax return
Not have claimed another used clean vehicle credit in the 3 years before the EV purchase date
Modified adjusted gross income must not exceed $75k for individuals, $112,500 for heads of households, and $150k for joint returns
Additionally, in order for used EV to qualify for federal tax credits, it must:
Have a sale price of $25,000 or less
Have a model year at least 2 years earlier than the calendar year when you buy it
For example, a vehicle purchased in 2023 would need a model year of 2021 or older
Not have already been transferred after August 16, 2022, to a qualified buyer
Have a gross vehicle weight rating of less than 14,000 pounds
Be an eligible FCV or plug-in EV with a battery capacity of least 7 kilowatt hours (kWh)
Be for use primarily in the United States
Purchased from a certified dealer:
For qualified used EVs, the dealer reports required information to you at the time of sale and to the IRS
A used vehicle qualifies for tax credit only once in its lifetime
These used EVs qualify for credits as of May 2025
It’s important to note that this is not the end-all, be-all list of used EVs that qualify for tax credits in the US. As always, we recommend speaking with a tax professional and EV dealer directly to ensure what you and your new vehicle qualify for. Without further ado, here are the all-electric models that currently qualify:
Tesla (TSLA) shareholders were getting excited on social media about a “Tesla prototype” that turned out to be a competitor’s prototype vehicle.
A new electric vehicle prototype started showing up on social media, and Tesla shareholders started sharing it, assuming it was a Tesla prototype.
A Tesla shareholder part of the “Rebellionaire” group on X, a group of Tesla stock pumpers, even shared it, claiming that it is “what gets him ultra bullish” on Tesla:
The only problem is that it wasn’t even a Tesla prototype.
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Faraday Future (FF) came out and confirmed that it is a prototype mule of their new ‘Faraday X’:
That’s our testing vehicle, a Faraday X Prototype Mule.
FF is better known for its very high-end FF91, but it is currently developing less expensive next-generation vehicles under its new Faraday X brand.
Tesla shareholders got excited because some are still holding on to the idea that Tesla is going to release new cheaper electric vehicles under new models.
Tesla has confirmed all that in their most recent financial results and earnings calls, but some are still holding on to the idea that Tesla plans to release completely new models due to Musk’s comments.
Electrek’s Take
I think part of Tesla’s problems right now are due to its shareholder base not recognizing its problems and blindly believing what Elon Musk says, despite a long history of misleading and plain wrong.
This is a prime example.
Tesla has now confirmed what we have been reporting for a year: the new vehicles are just going to be stripped-down versions of Model 3 and Model Y.
No new models are coming to market other than supposedly the Cybercab, but as long as this is only planned without a steering wheel, it is useless until it can solve unsupervised self-driving, which it has yet to do.
This is a problem that shareholders are either ignoring or don’t believe.
Tesla launched a single new model in the last five years, the Cybertruck, which was a commercial flop.
At some point, shareholders must wake up and realize that Musk is destroying Tesla’s EV business and that self-driving vehicles are not coming to save the day.
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