Electric vehicles (EVs) are no longer niche. In the first half of 2025, U.S. dealers sold around 310,839 EVs and EVs represented 7.4% of all light‑vehicle sales (caredge.com). Tesla still dominates the sector with roughly 46% share (caredge.com), but the field is growing quickly with models from Hyundai, Ford, General Motors, Kia and Volvo. EVs span everything from compact hatchbacks to full‑size pickup trucks, and the market is heading towards mainstream adoption.
EV adoption has been boosted by the federal clean vehicle tax credit. For new EVs placed into service from 2023 through 2032, the New Clean Vehicle Credit offers up to $7,500 (irs.gov). To qualify, the vehicle must have at least a 7 kWh battery, weigh less than 14,000 pounds and be assembled in North America. The credit is split into two $3,750 portions: one for meeting critical‑minerals sourcing requirements and the other for battery‑component sourcing. Income caps apply ($150k for single filers, $300k for joint), and the manufacturer’s suggested retail price (MSRP) cannot exceed $55k for cars or $80k for SUVs and pickups. Buyers can even transfer the credit to a dealer to reduce the purchase price at the point of sale.
Popular 2025 EV models
Tesla Model Y and Model 3 – Tesla continues to lead the EV market. The Model Y compact SUV was one of the top‑selling vehicles of any type in 2025, with more than 150,000 units sold in the first half of the year (kbb.com). The Model 3 sedan also remains popular thanks to its 300‑plus‑mile range, quick acceleration and access to Tesla’s Supercharger network. Tesla’s frequent price adjustments and generous inventory discounts make new Teslas more attainable than in previous years.
Hyundai Ioniq 6 and Ioniq 5 – According to U.S. News’ 2025 rankings, the all‑electric Hyundai Ioniq 6 tops the electric‑car category for its excellent range (up to 361 miles), handsome styling and playful handling (cars.usnews.com). The Ioniq 5 crossover scores highly among electric SUVs and offers fast charging and a roomy interior. Hyundai’s 10‑year/100,000‑mile battery warranty adds peace of mind.
Ford Mustang Mach‑E – Ranked as the best electric SUV (cars.usnews.com), the Mach‑E delivers strong performance with up to 480 horsepower in GT trim. It offers a comfortable ride, available all‑wheel drive and up to 312 miles of range. Ford dealers have been discounting 2024‑2025 models to meet sales targets, making the Mach‑E one of the best bargains in its class.
Chevrolet Equinox EV and Blazer EV – General Motors finally launched its mass‑market Ultium‑based EVs. The Equinox EV is expected to start around $34k after incentives and offers roughly 300 miles of range. The Blazer EV and upcoming Silverado EV have larger batteries, sporty styling and fast‑charging capability.
Luxury EVs – At the high end, the Lucid Air can travel up to 512 miles on a single charge (kbb.com), while the Rivian R1S three‑row SUV delivers 410 miles of range and off‑road capability. These models showcase what’s possible when price is not the primary concern.
Incentives, deals and ownership costs
EVs remain more expensive than comparable gasoline cars. The Energy Information Administration notes that the average transaction price for an EV was about $59,200 in March 2025, roughly 25 % higher than the $47,500 average for all new vehicles (eia.gov). However, incentives narrow the gap. In addition to the federal tax credit, many states offer rebates, sales‑tax exemptions or free charging. For example, Colorado offers up to $5,000 in state credits, while New Jersey waives sales tax on certain EVs. Utility companies often provide rebates for home chargers.
EV manufacturers have also been discounting inventory. Tesla and Ford cut prices on several models in early 2025. GM is offering low‑interest financing and first‑responder discounts on the Equinox EV. Hyundai and Kia include free Level 2 home‑charger installations with some purchases. Because EV demand softened in early 2025, shoppers can negotiate aggressively – be sure to cross‑shop dealers and consider end‑of‑quarter sales events.
Editorial recommendations
- Assess your driving patterns. EVs make the most sense for drivers who routinely cover less than 250 miles in a day and have access to home or workplace charging. Buyers who regularly road‑trip to remote areas may find the charging network sparse.
- Check eligibility for tax credits. Verify that the specific trim you’re considering meets the critical‑minerals and battery‑component requirements. Expensive trims can exceed the MSRP caps (irs.gov), so choosing a mid‑range model may maximize your credit.
- Look beyond sticker price. EVs cost more up front but have lower running costs – electricity is cheaper than gasoline and EVs have fewer moving parts. Factor in insurance, maintenance and potential battery replacement after the warranty period. Manufacturers typically offer 8‑year/100,000‑mile battery warranties on new EVs.
- Prioritize range and charging infrastructure. A 200‑mile range may be adequate for urban commuting, but a longer range provides flexibility for road trips and reduces charging anxiety. Research public charging networks in your area and consider vehicles that support fast DC charging.
- Test drive and evaluate technology. Modern EVs are packed with advanced driver‑assistance systems and over‑the‑air software updates. Make sure the infotainment system is intuitive and that the automaker provides reliable software support.
Prepared by Willie Redmond from Yeah! Motor editorial team. All information is based on data available through June – July 2025.