Don't write an obituary for American electric vehicles just yet. According to a new report from Cox Automotive, sales of electric vehicles in the United States have been growing for three consecutive quarters after a significant decline following the cancellation of tax incentives last year.

Data shows that electric vehicles account for 6.1% of the U.S. market, representing the best performance since the third quarter of 2025. Cox Automotive Director of Industry Insights Stephanie Valdez Streaty stated in an analysis attached to the new report that the electric vehicle market “is starting to gain traction again.” She added that the prices of electric vehicles have become more competitive, and high oil prices have also rekindled consumer interest.

Toyota, Rivian, and Subaru are leading the way. The sales volumes of Toyota, bZ, and Lexus RZ almost doubled after they were introduced into dealer stores at the end of last year. The updated models feature a charging interface similar to that of Tesla and are equipped with larger batteries, more powerful motors, and faster charging speeds.

At the same time, the sales volume of Tesla decreased by 20% year-on-year. However, Tesla still maintains its first-mover advantage, selling more than half of all electric vehicles in the third quarter.

The recovery of the US market is similar to what occurred in Germany before. In November 2023, the German government ended its incentives for electric vehicle purchases, a year earlier than originally planned. In the following month, sales plummeted by more than half. However, after hitting rock bottom, the market began to steadily recover. In August, Germany saw its second-highest ever sales volume of electric vehicles, which is the most recent month for which data is available.