From The Conversation · John Paul Helveston · · 1m 20s
Americans want electric cars but can't find them
Electric car shortages hit US as gas prices surge after Iran war.
In brief
Electric car shortages hit US as gas prices surge after Iran war. US electric vehicle sales dropped 16% in 2026 due to supply shortages after tax credits ended, while hybrid sales rose 18%. Originally reported by The Conversation.
Gas prices spike
Gas prices rose from $2.94 to $4.35 a gallon within three months of US and Israeli strikes on Iran in February 2026.
Hybrid sales surge
Hybrid electric vehicle sales increased 18% from March to May 2026 compared to 2025.
EV sales drop
Fully electric vehicle sales fell 16% from March to May 2026 compared to 2025.
Tax credits end
Federal tax credits for new and used electric vehicles ended after September 30, 2025.
EV production cuts
General Motors laid off 3,400 workers at EV plants and shifted Tennessee plant to battery storage.
EV inventory drops
New EV inventories shrank from 130 to 78 days of supply by August 2026.
Used EV prices rise
Used electric vehicle prices climbed 13% through late June 2026, adding $3,500 per car.
Chinese EV exclusion
US banned Chinese EVs starting 2027 despite 75% of global EVs being made in China.
EV sales lag
EV sales fell to 86,000 in August 2026, down from 101,000 in May 2026.
The headline
US electric vehicle sales dropped 16% in 2026 due to supply shortages after tax credits ended, while hybrid sales rose 18%.
