Electric car market

Market research on new car registrations in the US has shown an increase in the market share of electric cars in 2020 to a new record high, with Tesla and General Motors leading the market. Experts predict even greater growth between 2021 and 2025.

The latest data on electric vehicle registrations in the US in 2020 showed a record share of 1.8% of the total car market in the country, according to IHS Markit (INFO), a major analyst firm. Only all-electric models that do not run on another energy source were taken into account.

While this means that only one in 40 new cars in the US on average will be all-electric in 2020, the December data showed just how fast electric car sales can grow. Last December saw the highest monthly share of new electric vehicle registrations in the industry at 2.5%, a record monthly level since IHS Markit began tracking new vehicle registrations by fuel type. With more than 100 new electric vehicle models planned by various manufacturers, their capture of a greater share of the market seems obvious, with internal combustion engine models being squeezed out. IHS Markit predicts that electric vehicle sales will exceed 3.5% nationally in 2021 and continue to grow to over 10% in 2025.

Tesla to become the absolute market leader in electric vehicles in the US in 2020

According to a report by Automotive News, Tesla Electric Vehicles (TSLA) has taken four of the top five spots for new electric vehicle registrations in 2020:

No. 1 Tesla Model 3 95,135 units

No. 2 Tesla Model Y 71,344 units

No. 3 GM's Chevy Bolt 19,664 units were registered in the U.S. in 2020

No. 4 Tesla Model X 19,652 units

No. 5 Tesla Model S 14,430 units.

Tesla was the absolute market leader in the US electric vehicle market in 2020 with a 79% market share and 200,561 registrations, 16% more than the 172438 Tesla vehicles registered in 2019.

Two coasts had the highest number of registrations, with San Francisco accounting for 11% of the total market, Washington DC accounting for 2.5%, and New York and Chicago 2% and 1.5% respectively.

Additionally, IHS Markit noted that more than half of US families with electric cars returning to the market are buying another electric vehicle, a significant increase over previous years.