EV sales still rising at 22.3% in CA, Tesla cedes lead back to Toyota
EV sales continue to rise steadily in California, reaching a record 22.3% market share in Q3. But Tesla has returned to its position as second-best selling brand in the state, behind longtime leader Toyota, after briefly eclipsing the brand last quarter.
The California New Car Dealers’ Association releases its “California Auto Outlook” each quarter, breaking down trends in the auto industry for the previous quarter. It’s out with its new Q3 report today and we’re going to break it down for some insights.
As has been the trend for the last several years, EV sales continued to rise in California. They started the year at 20.5% in Q1, then 21.8% in Q2, and 22.3% in Q3. So this quarter’s rise was a little slower than the last, but still a new record in the state.
It means that California will likely exit the year with a BEV run rate of around 23%, which is slightly down from our expectation of around 25%+. But still significantly up from the 9% of 2021 and 17% of 2022. And pure-ICE market share has dropped in the same timeframe, to 64.6% YTD in 2023 from 71.6% in 2022.
Comparatively, the US had an EV market share of 7.9% in Q3, putting California EV sales about 3x higher than the country’s average (especially if you take California out of the national data, as the state pulls the national average up).
Accounting further for Plug-in Hybrids, more than 1/4 of California’s new car registrations had a plug in Q3. Adding conventional hybrids and fuel cell vehicles to the mix, more than 1/3 – 37.3% – are “alternative fuel vehicles.”
Hybrid and EV sales continued to rise in Q3, but plug-in hybrid sales continued to hover around 3%.
Total new EV registrations actually dropped in California in Q3 as compared to Q2, with 100,597 new EVs registered versus 103,061 in the previous quarter. But overall auto sales dropped by a larger amount, meaning EVs were a higher share of sold vehicles. This is due to the seasonality of car sales – compared to Q3 of last year, overall auto sales are up 21.1%, and BEV sales are up 56.3%.
But one interesting battle being fought in California recently is between Toyota and Tesla for top dog in the leading state for EV adoption and in the state of Tesla’s birth. Toyota has long held the position as #1 brand, and the Toyota Camry had been the best-selling vehicle in California in many years until the Model 3 (and then the Model Y) unseated it. This has earned the Model 3 the nickname “California Camry” based on how common it is on CA roads.
While Tesla had unseated Toyota for the best-selling model, Toyota still maintained position of top-selling brand, as the latter sells a much broader base of models compared to Tesla’s smaller set of model offerings. But in Q2, we noticed that Tesla had narrowly outsold Toyota for the first time, based on the incredible strength of Model 3 and Model Y sales, which were (and remain) the best-selling models in the state by a ridiculous margin.
But in Q3, Toyota came back and earned the top spot again. Toyota sold 70,314 vehicles (compared to 67,482 in Q2) and Tesla sold 60,061 (compared to 69,212 in Q2). This is in keeping with Tesla’s overall down quarter in deliveries, though sales still improved significantly compared to Q3 of last year.
As a result, Toyota is now ahead of Tesla by about 20,000 vehicles year-to-date, meaning that Tesla is unlikely to become the best-selling brand for all of 2023. But the company is still comfortably in second-place, with about a 50,000 vehicle advantage over Honda year-to-date.
And Tesla still dominates the best-selling vehicle list and nobody else even close, at 106,398 and 66,698 units each so far this year. The Toyota RAV4 and Camry are running so far back that they may as well be in a different race, at 40,622 and 39,293 units each.
Other quick insights from the report include: continued strong sales growth for Rivian, which has the largest percent increase year-to-date at 176.8%; a new breakdown of top-selling BEV and PHEV sales which shows the Wrangler 4xe to be the fourth-most-popular vehicle with a plug in the state, behind Model Y/3 and the Chevy Bolt; BEV share of 25.7% YTD in Northern California, as compared to 21.1% in Southern California (pick up the pace IE, OC and LA can’t carry everyone); and a 103% increase in sales of BEVs at franchised dealerships (namely, traditional auto companies) year-to-date, compared to just a 42% increase in BEV sales from direct sellers (namely, the EV startups).
Electrek’s Take
We like looking at this data each quarter because California tends to lead the rest of the nation on trends and adoption of new technologies, and this has always been the case in EV sales.
A couple years ago, California was down at 7% new EV sales, but the rest of the country was selling 2% or so. Now, the country is at 7%, and California is at 22%.
So if you want a sense of where the nation will be in a couple years, this is data worth looking at.
FTC: We use income earning auto affiliate links. More.
On today’s exciting episode of Quick Charge, we don’t even mention “you know who,” focusing instead on EV news from Rivian, Lucid, Nissan, Ford, and what it takes to make a MAN in the heavy truck space. Check it out!
Sure, Nissan is pushing back production estimates on its yet-to-begin-production Nissan LEAF and Ford’s EV sales were down significantly in Q2, but there’s more to the story than the “Faux News” crowd would have you believe. Plus: some new electric success stories from Porsche and a disappointing (but still cool) dive into some new home backup battery tech.
Source Links
Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple Podcasts, Spotify, TuneIn, and our RSS feed for Overcast and other podcast players.
New episodes of Quick Charge are recorded, usually, Monday through Thursday (most weeks, anyway). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.
Got news? Let us know!
Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.
he 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
FTC: We use income earning auto affiliate links. More.
Battery electric cars sold today in Europe produce 73% less life-cycle greenhouse gas emissions than gas cars, even when factoring in production, according to new research from the International Council on Clean Transportation (ICCT). That’s a big improvement from 2021, when the gap was 59%.
Meanwhile, hybrids and plug-in hybrids haven’t made much progress. The study confirms what clean transportation advocates have been saying for years: If Europe wants to seriously slash emissions from its dirtiest mode of transport – ICE passenger cars, which pump out nearly 75% of the sector’s pollution – it needs to go all-in on battery EVs.
“Battery electric cars in Europe are getting cleaner faster than we expected and outperform all other technologies, including hybrids and plug-in hybrids,” said ICCT researcher Dr. Marta Negri. Credit the continent’s rapid shift to renewables and the higher energy efficiency of EVs.
The makeup of the EU’s power grid is changing fast. By 2025, renewables are expected to generate 56% of Europe’s electricity, up from 38% in 2020. And that’s just the beginning: the share could hit 86% by 2045. Since cars bought today could still be on the road two decades from now, the growing use of clean electricity will only boost EVs’ climate benefits over time.
Gas-powered cars, on the other hand, will stay mostly tied to fossil fuels as the cost and availability of biofuels and e-fuels are still uncertain.
Hybrids and plug-in hybrids only cut lifetime emissions by 20% and 30%, respectively, compared to gas cars. That’s partly because plug-in hybrids tend to run on gas more than expected. So while hybrids aren’t useless, they’re just not good enough if we’re serious about climate goals.
Countering EV myths with hard data
There’s been a lot of noise lately about whether EVs are really that green. The ICCT study takes aim at the bad data and misleading claims floating around, like ignoring how the grid gets cleaner over time or using unrealistic gas mileage figures.
It’s true that manufacturing EVs creates more emissions upfront – about 40% more than making a gas car, mostly due to the battery. But EVs make up for it quickly: that extra emissions load is usually wiped out after about 17,000 km (10,563 miles) of driving, which most drivers hit in a year or two.
“We’ve recently seen auto industry leaders misrepresenting the emissions math on hybrids,” said Dr. Georg Bieker, senior researcher at the ICCT. “But life-cycle analysis is not a choose-your-own-adventure exercise.”
ICCT’s new analysis includes emissions from vehicle and battery production and recycling, fuel and electricity production, and fuel consumption and maintenance. It even adjusts for how the electricity mix will change in the coming years – a key detail when measuring plug-in hybrid performance.
Read more: Volkswagen’s 47% BEV sales jump includes a 24% boost in the US
The 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
FTC: We use income earning auto affiliate links. More.
![Here's our closest look at the Kia EV2 caught testing in the Alps [Video]](https://i0.wp.com/electrek.co/wp-content/uploads/sites/3/2025/07/Kia-EV2-closest-look.jpeg?resize=1200,628&quality=82&strip=all&ssl=1)
The EV2 may be Kia’s smallest electric vehicle, but it has a big presence on the road. Kia promises it won’t feel so small when you’re inside, thanks to clever storage and flexible seating. After a prototype was spotted testing in the Alps, we are getting our closest look at the Kia EV2 so far.
Kia EV2 spotted in the Alps offers our closest look yet
Kia first unveiled the Concept EV2 during its 2025 EV Day event (see our recap of the event) in April, a preview of its upcoming entry-level electric SUV.
Despite its small size, Kia claims it will “redefine urban electric mobility” with new innovative features and more. Kia has yet to say exactly how big it will be, but given it will sit below the EV3, it’s expected to be around 4,000 mm (157″) in length. The EV3 is 4,300 mm (169.3″) in length.
Looking at it from the side, it sits much higher than you’d expect, similar to Kia’s larger EV9. During an exclusive event at Milan Design Week in April, Kia gave a sneak peek of the interior.
Kia said the interior is inspired by a “picnic in the city,” or in other words, a retreat from the busy city life. With a flat-floor design and flexible seating, you can quite literally have a picnic in the city.
Although we’ve seen the EV2 out in public testing a few times, a new video provides the closest look at Kia’s upcoming electric SUV.
The video, courtesy of CarSpyMedia, shows an EV2 prototype testing in the Alps with European license plates. There’s also a “Testfahrt” sticker on the back, which translates to “Test Car” in German.
As the prototype drives by, you can get a good look at it from all angles. Like in past sightings, the front features stacked vertical headlights with Kia’s signature Star Map lighting. Even the rear lights appear to be identical to those of the concept.
The interior will feature Kia’s next-gen ccNC (connected car Navigation Cockpit) infotainment system. The setup includes dual 12.3″ instrument clusters and infotainment screens in a curved panoramic display. Depending on the model, it could also include an added 5.3″ climate control screen.
Last month, a crossover coupe-like model was spotted on a car carrier in Korea, hinting at a new variant. The new model featured a design similar to that of the Genesis GV60.
Kia’s CEO, Ho Sung Song, also recently told Autocar that a smaller, more affordable EV was in the works to sit below the EV2. Song said the new EV, priced under €25,000 ($30,000), was “one area we are studying and developing.”
With the EV4 and EV5 launching this year, followed by the EV2 in 2026, it could be closer toward the end of the decade before we see it hit the market. Next-gen EV6 and EV9 models are also due out around then.
The Kia EV2 is set to launch in Europe and other global regions in 2026. Unfortunately, it’s not expected to make the trip to the US.
FTC: We use income earning auto affiliate links. More.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Sports2 years agoButton battles heat exhaustion in NASCAR debut
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike