US EV Market Share Grows to 8% as Tesla Leads the Charge

Last Updated on June 30, 2024 by SPN Editor

In Q3 of 2023, electric vehicle (EV) sales in the United States witnessed a remarkable nearly 50% year-over-year surge. This growth is driven by an expanding US EV market share for American automakers and rising concerns about EV affordability among consumers.

During this period, Cox Automotive reported that EV sales in the US exceeded 300,000 units for the first time, setting a new record. It’s worth noting that Tesla, a dominant player in the US EV Market Share, maintained a market share of approximately 50%, although it had decreased from the low 60% range seen in Q1. The overall market share for EVs in the United States now stands at around 8%.

Tesla, known for its dynamic pricing strategies and frequent updates to vehicle models, recently reduced the prices of its Model 3 and Model Y. The 2023 Tesla Model 3, for example, now starts at $40,380, while the Model Y is priced at $45,380.

These vehicles are equipped with rear-mounted motors and offer ranges of 272 and 260 miles, respectively, according to EPA estimates. To further address affordability concerns, Tesla introduced lower lease prices following these price reductions.

The lease price for the Tesla Model 3 RWD is set at $349 per month for a 36-month lease with a down payment of $4,500. This lease includes an annual mileage allowance of 10,000 miles, resulting in a total cost of $18,154 for a three-year lease. In addition to the lease price, Tesla charges a $695 acquisition fee and a $395 disposition fee at the end, both of which are factored into the estimated lease price.

Tesla’s commitment to reducing prices is aimed at addressing the affordability issue and preparing for a customer base of 20 million cars per year. Tesla’s highly anticipated CyberTruck and Semi are set to contribute to achieving these ambitious goals.

The largest Gigafactory, located in Mexico, will produce 2 million units per year of the $25,000 Model 2 (which can be further reduced to $17,000 with tax incentives). This model is intended to replace popular cars like the Corolla and Honda Civic.

• Also Read: Electric Car Market in the United States

Notably, the Tesla Semi made significant strides during the “Run on Less” event organized by the North American Council for Freight Efficiency (NACFE). Data from the event showed that Tesla’s all-electric Class 8 truck demonstrated superior range and charging efficiency compared to competitors from established truck manufacturers like Freightliner and Volvo. Industry experts recognized Tesla as the leader in terms of performance, range, and superfast charging capability.

During the “Run on Less” event, PepsiCo-operated Tesla Semi trucks achieved an average daily mileage greater than any other vehicle. One particular Tesla Semi traveled an impressive 1,076 miles in a single day, with three fast-charging stops at 750-kilowatt chargers. These stops brought the battery charge to approximately 47%, then 89%, and finally 52%.

PepsiCo reported that 60% of the miles driven during the event were with a gross vehicle weight of more than 72,000 pounds, closely approaching the 82,000-pound limit for zero-emission semi tractor-trailer combinations. Tesla’s performance during the event reinforced its position as a leader in the electric heavy-hauling industry.

The surge in US EV Market Share and Tesla’s ongoing efforts to enhance affordability and expand its product offerings are indicative of shifting opportunities in the US EV Market Share

Tesla’s role in pushing the boundaries of EV technology and performance is a testament to its commitment to shaping the future of transportation.