Electric Car Sales Not Matching Increased Output

As the auto industry produces more electric vehicles, sales are not keeping pace, Axios reported Monday.

The main concerns of potential customers appear to be the cost and skepticism about the ease with which the vehicle can be charged.

Cox Automotive experts emphasized the growing EV inventories during a recent midyear industry review provided for journalists and industry stakeholders.

The report stated that EV sales, which make up approximately 6.5% of the American auto market so far this year, are expected to surpass 1 million units in 2023 for the first time.

According to the Cox survey, 51% of consumers are considering buying either a new or used EV; it was 38% in 2021.

But despite the signs of an upswing in interest, the nationwide supply of EVs in stock has surged almost 350% this year to more than 92,000 units. That has created a 92-day supply, nearly twice the average in the industry.

In comparison, dealers have a 54-day supply of gasoline-powered vehicles in inventory as they continue to rebound from supply-chain interruptions related to the coronavirus pandemic.

There is usually a 70-day supply, according to experts

Some brands are seeing higher EV inventories than others, with the major factor apparently being that the costlier price tag for these vehicles make them ineligible for federal tax credits, Axios reported.

Among hybrid vehicles, there is a relatively tight 44-day supply across the industry, according to Cox, which boosts one theory among experts that many consumers are more comfortable with a steppingstone before they buy fully electric cars.