Electric vehicle sales in the US reached more than 85,000 units in May, marking the best performance since federal tax credits ended last fall. Average transaction prices continued to decline amid high incentives from automakers.
New data from Kelley Blue Book shows the average price for a new EV fell to $54,532 in May. This represents a 4% drop from the prior year and extends an 11-month streak of year-over-year price reductions. Automakers provided incentives averaging 14% of the transaction price, or about $7,600 per vehicle. These discounts remained nearly unchanged from April and far exceeded the industry average. Tesla accounted for roughly half of all EV sales. The average price paid for a Tesla dropped 1% from April and 3.4% from a year earlier, with most sales coming from the Model 3 at $49,082 and the Model Y at $51,537. Rising gas prices also supported demand as buyers responded to lower EV prices and ongoing discounts.
