Interest in Electric Vehicles (EVs) grows among consumers, although it is still comparatively lower than other countries

The interest of American consumers in purchasing electric vehicles is experiencing rapid growth. However, despite this trend, Americans are still less confident in electric vehicle technology compared to consumers in other countries. This finding comes from a study conducted by EY, a leading consulting and accounting firm.

In the survey conducted in March and April, more than 20 percent of Americans expressed their willingness to consider a battery-electric vehicle as their next car purchase. This figure represents a 15 percent increase compared to the previous year, marking the most significant leap recorded in the study. Additionally, nearly half of the respondents stated that they would consider an electrified vehicle, including plug-ins and hybrids, which is a 19 percent rise from the previous year. This growth positions the United States as the leader among countries in the 2023 EY Mobility Consumer Index category. It is worth noting that the study collected responses from 15,000 consumers globally, with approximately 1,500 respondents from the United States.

Despite the accelerated interest in electric vehicles due to EV-friendly policies in the United States, such as the Inflation Reduction Act, the country still lags behind other nations in terms of EV consideration. Countries like Norway, China, Singapore, India, Sweden, South Korea, and Austria demonstrate a higher likelihood of considering a battery-electric vehicle compared to American consumers.

On a global scale, more than half of consumers indicated their willingness to purchase an electrified vehicle. Furthermore, the study shows that almost 90 percent of the respondents are willing to pay a premium for EVs, marking an increase from the previous year’s 80 percent. Most consumers specified a premium range of 11 to 20 percent.

According to EY, one of the key motives for purchasing an electric vehicle is the high cost of fuel. The AAA reports that the average price per gallon of regular gasoline in the United States was $3.48 at the end of March, coinciding with the survey period.

Randy Miller, EY’s global advanced manufacturing and mobility leader, highlighted the potential impact of combined government support and fuel prices on the continued rise of EV consideration. Miller noted that despite China ending its subsidies for EVs in 2022, the country has maintained strong momentum in this area. He emphasized that manufacturers will face the challenge of assessing whether consumer preference for EVs will persist, especially considering the possibility of decreasing fuel prices in the future.