EV Sales Fall in New Sales, Used Skyrocket in February — The Transitioning Market

New EV sales drop 26.8% in February, while used demand rises 28.8%; inventory adjusts and prices plummet. See the key numbers.

New EV Sales Fall, Used Gain Traction in February

The dynamic of the electric vehicle market in the US points to a new phase, with greater price sensitivity, inventory discipline, and changes in demand.

New EV Sales in Decline

Total new sales of EVs in February stood at 68,951 units, marking a 26.8% drop compared to the same month last year and a 5.8% rise from January. EVs accounted for 5.8% of all vehicle sales that month.

Tesla maintained its leadership position, with approximately 38,500 units, however its market share retreated to 55.8% (from 60.5% in January). Among traditional and emerging brands, Chevrolet stood out with an impressive 70.7% increase,
entering the group of top EV sellers. Hyundai and Toyota also saw gains, while Ford and Nissan suffered declines.

Used EV Market Gains Traction

The used EV segment continued its upward trend, totaling 30,879 units sold in February. This represents +28.8% year-over-year and +4.2% compared to January.

Tesla returned to lead the segment, with over 12,000 units sold through non-Tesla dealerships. The top 5 remained Chevrolet, Ford, BMW, and Hyundai.

Interestingly, although most brands showed gains, some European ones — such as Audi, Volkswagen, and Mercedes-Benz — registered drops in the used market.

Inventories Adjust: Supply and Demand Align

Inventory levels receded in February, signaling a better balance between supply and demand.

Days' supply for new EVs dropped to 130 days, a 27% decrease from January, still above last year's levels. The gap between EV supply and internal combustion engine vehicles narrowed considerably, suggesting a rebalancing.

Ford and Chevrolet presented the largest inventories, while Toyota and Mercedes-Benz maintained a tighter supply.

In the used market, days' supply fell to 42 days, below last year's levels, with tightening across several high-volume brands. Tesla maintained the lowest inventory, at just 35.5 days, highlighting strong demand relative to availability.

Prices on a Downward Trajectory

Price trends reinforce the value placed on affordability. The Average Transaction Price (ATP) for new EVs fell to $55,300 in February, due to both the annual and monthly decline. The premium over gasoline vehicles retreated to a record low of $6,532.

Concurrently, average incentives rose to $7,870, equivalent to 14.2% of the ATP, indicating a greater effort by automakers to stimulate demand.

In the used segment, the average listing price dropped to $34,821, an 8.5% decrease year-over-year. Tesla's used price declined modestly, while Mercedes-Benz, Hyundai, and Audi registered sharper drops. The price gap between used EVs and ICE vehicles nearly closed, at only $1,334, with most brands offering used EVs at parity — or even below — their ICE equivalents.

Outlook: Market in Transition

As spring approaches, the data suggests a phase of normalization after years of rapid growth. Automakers and dealers are adjusting to more realistic demand levels.

Forecasts point to a flood of EV launches in 2026, which could broaden consumer choice and boost volume growth. At the same time, rising fuel costs may strengthen EV adoption, especially when the total cost of ownership becomes a central factor for buyers.

Source: Cox Automotive

Did you like the numbers? Leave your comment below: do you believe this normalization will increase stable demand or merely reflect a tightening of supply?