Electrification of cars in the United States significantly accelerated in early 2023, according to the latest reports for the month of January.
According to the registration data from Experian , out of 1.24 million new light vehicles registered in January, some 87,708, or 7.1 percent were all-electric. That's a 74 percent increase year-over-year and a noticeable change, compared to a 4.3 percent share in January 2022. The 7.1 percent share is also a step change from 5.6 percent in the 12 months of 2022.
It's clear that the battery electric vehicle segment is booming, partially through organic growth and partially through the Inflation Reduction Act of 2022 , which brought back the $7,500 federal tax credit eligibility for Tesla and General Motors.However, imported models, which are not eligible for the $7,500 federal tax credit anymore, were significantly affected and are not selling as well as in 2022 .