- Only 16% of Americans call themselves “likely” or “very likely” to buy an EV in a new survey
- It’s the lowest figure AAA has seen since 2019
Americans have more electric cars to choose from than ever before. Increasingly, they don’t plan to choose them.
A new study from AAA finds just 16% of Americans consider themselves “likely” or “very likely” to buy an electric vehicle (EV) for their next car. That’s down from 18% last year and 23% the year before.
“While the automotive industry is committed to long-term electrification and providing a diverse range of models, underlying consumer hesitation remains,” says Greg Brannon, AAA’s director of automotive engineering.
Hesitant Over Costs, Range
- 59% cited high prices, and 62% feared high battery costs as reasons to stay away
- 58% worried about long-distance travel being too hard with an EV
AAA surveyed 1,128 adults “using a probability-based panel designed to be representative of the U.S. household population overall” in early March. Researchers say their study has a 4% margin of error.
Money is holding drivers back from EVs. Sixty-two percent cited the high cost of battery replacement as the biggest reason they weren’t interested. Another 59% cited the high purchase price.
The average EV sold for $59,255 last month – $10,556 more than the $48,699 price of the average car.
Range proved a concern, too, with 58% saying EVs are unsuitable for long-distance travel. EV range is improving, but many industry insiders say it won’t change drastically until manufacturers perfect next-generation solid-state batteries.
The Shift Is Well Underway Elsewhere
- A recent report said 25% of all new cars sold globally could be EVs this year
- America is stuck below 7%
- That could leave the American auto industry uncompetitive
A recent report from the International Energy Agency found that, worldwide, about a quarter of all new cars could be electric this year.
Americans have bought more EVs so far in 2025 than they did in the first six months of 2024. But EVs made up just 6.9% of the American market last month.
Automakers worry that they’re falling behind. However, China’s automotive industry is growing quickly, with Chinese automaker BYD now the world’s largest EV builder and Chinese brands selling well worldwide.
U.S. laws currently exclude Chinese automakers from the American market, but even industry insiders don’t expect that firewall to last forever.
But it Faces New Headwinds in the U.S.
- Congress could eliminate EV tax credits for Americans soon
- The Trump administration has frozen funds for new chargers
America’s automakers are increasingly hobbled as they try to fight back.
A law recently passed in the House of Representatives would end a $7,500 EV tax credit. It’s not clear that the proposal will pass the Senate. It’s currently tied up in Republican infighting as President Trump and his top donor, Elon Musk, clash over the bill.
But the White House has paused funds for new chargers.
American automakers are starting to signal a retreat from EVs. Ram recently revived its Hemi V8 engine, and several automakers have delayed new electric cars amid flagging consumer interest.
That risks an American auto industry that can only build cars Americans want. Ford CEO Jim Farley, once a booster of international growth, recently called the industry “increasingly a regional business.”