EV inventory is ballooning, prices expected to fall soon

Data from Cox Automotive and Automotive News Research and Data Center show dealer EV inventories are rising despite strong sales.
Cox Automotive estimates that EVs are approaching 7% of the U.S. new-car market and will top 1 million U.S. sales for the first time this year. But the data also show that EVs aren’t flying off dealer lots.
By the end of the second quarter, U.S. EV inventory is expected to top 90,000 units for the first time. For background, last year, when the EV supply was severely tight, the domestic inventory was around 21,000 units, Green Car Reports reported.
Several factors still hamper EV sales growth. Cox also revealed in a June survey of dealers and consumers that dealers are not yet as ready for the electric future as consumers are. And while consumers may be more enthusiastic than dealers, interest in EVs is by no means universal, Automotive News reported.
Ipsos has concluded that the lagging consumer interest in EVs is due in part to a misperception of the costs of EVs’ overall cost of ownership, which can actually be much lower than gasoline vehicles. . Confusion over the federal price cap for the EV tax credit and the rules, which seem to have changed several times over the past year, could also be a problem.
However, given the real cost, EVs may ultimately have an advantage. In the wake of Tesla’s 20% price cut earlier in the year, there is already a price war going on for EVs, even though higher battery and manufacturing costs could lead to further price parity with internal combustion cars towards 2030. Some suggest that there are
For now, plentiful supply likely means that EV deals could eventually happen, or at least the price gouging is gone.