March brought a rebound in EV activity: New-vehicle sales increased from February but remained below year-ago levels, while used EV demand surged, inventory tightened sharply, and prices declined across both segments, further narrowing EV-to-ICE premiums.

EV Sales Show Rebound But Decline YOY

New EV Sales

March new EV sales totaled an estimated 82,629 units, down 24.7% year over year but up 20.2% month over month. EVs accounted for 5.9% of total new-vehicle sales, slightly above 5.8% in February but below 6.8% a year earlier.

Tesla remained the volume leader with 41,055 vehicles, followed by Chevrolet, Hyundai, Toyota, and Cadillac. While Tesla sales increased from February, its market share declined to 49.7% from 56.3%. Most brands posted month-over-month gains after a slower February.

Used EV Sales

Used EV sales totaled 42,924 units in March, up 27.7% year over year and 53.9% month over month. Market share increased to 2.5%.

Tesla led used EV sales with 15,385 vehicles, followed by Chevrolet, Ford, Hyundai, and BMW. Several high-volume brands, including Chevrolet, Ford, Hyundai, and Volkswagen, recorded gains of more than 50% month over month, supported by increased availability.

EV Prices Down, Incentives Up

New EV Average Transaction Price

The average transaction price for new EVs was $54,508 in March, down 6% year over year and 0.7% month over month. The EV premium over ICE vehicles narrowed to about $5,800.

Incentives increased 3.1% to an average of $7,967, or 14.6% of ATP.

Tesla’s pricing and volume mix contributed to overall price declines, along with increased share from lower-priced models from Chevrolet and Toyota. Cadillac and Ford posted month-over-month ATP increases.

Used EV Listing Prices Dip Slightly

The average listing price for used EVs was $34,653, down 6.1% year over year and 0.4% month over month. The price premium over ICE vehicles narrowed to $1,012.

Tesla listing prices increased 1.5% to $32,045. Among other high-volume brands, Ford recorded the largest increase at 4.4%, while Cadillac and Audi posted declines of 4.5% and 3.7%, respectively.

EV Supply Plunges By Double Digits

New EV Days’ Supply

New EV days’ supply declined to 75 days in March, down 45.1% month over month and 18.3% year over year. The gap between EV and ICE supply narrowed to three days, down from 168 days at the start of the year.

Volkswagen, Nissan, and Chevrolet had the highest supply levels, while Hyundai and Toyota remained the lowest. Ford recorded the largest month-over-month decline, down 61%.

Used EV Days’ Supply

Used EV days’ supply fell to 31 days, down 31.7% month over month and 28.3% year over year, moving four days below ICE levels after being above in February.

Supply tightened across most brands, with Kia, Chevrolet, and Volkswagen posting the largest declines. Tesla had the lowest days’ supply among major brands at 30 days, based on vehicles available through traditional dealerships.

Will Gas Prices Spur Lasting EV Revival?

Higher gasoline prices are increasing consumer interest in EVs, though sustained price increases are typically needed to drive long-term shifts in adoption. Charging infrastructure and vehicle affordability remain key factors.

New EV sales improved from February but remain below prior-year levels. The used EV market continues to expand, supported by improved availability and broader price options.