Hybrid cars gaining popularity in the US as electric vehicle sales struggle

DETROIT – America’s automakers have placed their bets on the idea of electric vehicles dominating sales in the near future, driven by the desire of buyers to reduce carbon emissions and save on fuel. However, the pace of EV sales is falling short of the industry’s ambitious transition away from combustion engines. Instead, consumers are increasingly turning to gas-electric hybrids, a 25-year-old technology that alternates between gas and battery power for maximum efficiency.

So far, in 2023, Americans have purchased a record 1 million-plus hybrids, up 76% from the same period last year, according to Edmunds.com. This year’s figures do not include sales of 148,000 plug-in hybrids. Although electric vehicle sales are nearing a record of over 1 million this year, the year-over-year growth rate is beginning to slow down. Hybrids are quickly becoming the preferred choice for many buyers due to reasons ranging from the higher prices of comparable EVs to concerns about the scarcity of charging stations.

Ford, the nation’s no.2 hybrid seller behind Toyota, expects to quadruple sales within five years. General Motors abandoned most hybrids in the US four years ago in favor of EVs, but is now considering bringing them back. Many consumers remain uneasy about the availability of charging stations or the high sale prices of EVs, even with tax credits. Hybrids do emit some tailpipe pollution, but because they burn less fuel than gasoline cars, their emissions are lower. The average purchase prices for hybrids are similar to those of gas vehicles and typically much less than for comparable EVs.

EV prices have dropped due to federal tax credits and price cuts, but they are still more expensive than hybrids or gas vehicles. The average price of a hybrid has stabilized at roughly $42,000, considerably less than the average $60,500 sale price of an EV. Hybrids are also more reliable than electric vehicles. Although more EVs will eventually be sold in the US than hybrids, tighter fuel economy and pollution regulations will likely drive automakers to sell more EVs in the future.