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Number of new car dealers selling electric vehicles triples from 2020

Since 2020, the share of new car dealers selling electric vehicles has risen from 16.5% to 55.1%, defying market headwinds and slow demand

More than half of all car dealers are selling electric vehicles in 2023, according to automotive data platform iSeeCars.

Since the onset of the COVID pandemic, the number of non-Tesla dealers selling new electric vehicles has risen more than 200% while their share of the market has risen 800%. Non-Tesla EV retailers now account for 55.1% of the total dealership population compared to only 16.5% three years ago.

Although the pace of adoption remains slower in the preowned market, almost a third of used car dealers are also now selling EVs, up from 17.1% in late 2020. Karl Brauer, iSeeCars executive analyst, noted that the greatest jump in dealer EV adoption occurred “in just the past 12 months” and predicted that the increase will “put increasing pressure on Tesla’s sales and market share.”

Nevertheless, many auto retailers remain cautious toward the electric vehicle segment. The share of new car dealers who do not carry an EV now rests at 44.9%, although the percentage is partially influenced by the lack of electrified models at certain brands. Excluding those manufacturers and retailers, the adoption rate increased to 73.5%.

Falling prices, low demand and stagnating sales continue to put retailers at odds with lawmakers and automakers. Dealers and dealer associations have frequently protested measures at the state and federal levels that seek to spur EV sales, urging regulators to address key issues facing adoption instead, such as the nation’s inadequate charging infrastructure.

In recent months, automakers have also scaled back their expectations toward the electric vehicle market, with industry giants such as Ford cutting production goals and postponing expensive plans to build battery factories in the U.S.

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Colin Velez
Colin Velez
Colin Velez is a staff writer/reporter for CBT News. After obtaining his bachelor’s in Communication from Kennesaw State University in 2018, he kicked off his writing career by developing marketing and public relations material for various industries, including travel and fashion. Throughout the next four years, he developed a love for working with journalists and other content creators, and his passion eventually led him to his current position. Today, Colin writes news content and coordinates stories with auto-industry insiders and entrepreneurs throughout the U.S.

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