Overview
- New data Tuesday from the California New Car Dealers Association showed zero-emission vehicle registrations fell about 40% to 57,111, cutting market share to 13.7%, the lowest since 2021.
- Tesla registrations fell 24.3% to 31,958 in California, and its share of the smaller EV market rose to about 56% with the Model Y leading at 22,907.
- Buyers shifted back to gas and hybrid models, with hybrids reaching 20.9% share and gasoline vehicles climbing to 61.1% of registrations.
- Brand results diverged, with Rivian down 35.9% to 1,841 and Lucid up 37.1% to 1,315 as Gravity SUV production picked up.
- Dealers pointed to the Sept. 30, 2025 end of the $7,500 federal credit, high borrowing costs and near-record prices as the main drag on demand in the quarter.