Interest in electric vehicles (EVs) among U.S. drivers has dropped to its lowest point since 2019, with just 16% of adults saying they’re likely to buy one as their next vehicle, according to AAA’s latest annual survey.
That’s a sharp decline from 25% in 2022, when high gas prices pushed more Americans toward electric alternatives.This drop comes as gasoline prices remain low—a major factor influencing consumer behavior.
Oil prices have hovered in the low $60s per barrel, keeping gas prices down and weakening one of the biggest financial incentives to switch to electric.“While the automotive industry is committed to long-term electrification and providing a diverse range of models, underlying consumer hesitation remains,” said Greg Brannon, AAA’s director of automotive engineering.
Key reasons for the decline in EV interest include:
High battery repair costs (62%)
High upfront purchase prices (59%)
Limited charging infrastructure and range concerns (over 55%)
Waning confidence in federal tax credits and rebates
The percentage of drivers “unlikely” or “very unlikely” to buy an EV has risen to 63%, up from 51% last year.Incentives that once bolstered EV enthusiasm have lost their power.
AAA found that only 39% of potential EV buyers cited tax credits and rebates as a motivation this year, a major drop from 60% last year.Political uncertainty and debates over government support for clean energy have further dampened enthusiasm.
“Uncertainty about incentives for EV purchases has started to play a larger role in drivers’ hesitancy,” AAA noted.Even though the number of EV models available in the U.S. has soared—over 75 launched in the past four years—the survey suggests that hybrid and plug-in hybrid vehicles are now seen as more practical options.
They offer gas savings and range flexibility without the same infrastructure challenges.“For many drivers, hybrids could be more appealing than full battery EVs as they combine the advantages of traditional internal combustion engines with electric power,” AAA concluded.
Belief in an all-electric future is also fading. Just 23% of Americans now think most vehicles will be electric within 10 years—down from 40% in 2022.
