Electric vehicles are showing signs of life in the United States, bucking the trend of declining sales after the cancellation of tax credits last year. According to a report from Cox Automotive, EVs now capture 6.1% of the U.S. market, their best showing since the third quarter of 2025. Stephanie Valdez Streaty, director of industry insights at Cox Automotive, attributes this to increased competitiveness of EV prices and high gas prices reigniting consumer interest.

The recovery has seen some automakers, like Toyota and Rivian, leading the charge. Sales of the Toyota bZ and Lexus RZ doubled following a refresh that introduced Tesla-style charging ports and larger batteries, among other upgrades. Meanwhile, Tesla's sales dipped by 20% year-over-year, though it still remains dominant, selling more than half of all EVs in the third quarter.

The U.S. experience mirrors that of Germany, where sales plummeted in November 2023 after an early withdrawal of government incentives. However, after hitting rock bottom, the market has steadily recovered. August data shows German EV sales at their second-highest on record, suggesting that green hopes are not yet dashed.

The question remains: will EVs continue their upward trajectory, or will they face another downturn? Only time—and perhaps a bit more green—will tell.