Tesla dominated US EV registrations in 2023, but the tides are changing. Consumer interest in relative newcomers like the 2024 Hyundai Ioniq 5 is rising.
Tesla Has Some Serious Competition in 2024
Drivers in the United States are still hesitant to embrace electric vehicles fully, but the adoption of EV technology is growing. New registrations increased 23% in December 2023, accounting for 8.8% of light vehicle purchases.
Over half of those new registrations were for Tesla cars, but the EV super-brand is starting to face serious competition. Vehicles like the 2024 Hyundai Ioniq 5 offer the same benefits at a fraction of the cost.
A Closer Look at Last Year’s Numbers
Despite some recent media claims to the contrary, US drivers are purchasing new EVs at near-record numbers. New EV registrations rose year-over-year by 52% as buyers purchased well over a million electric cars.
Tesla still leads the pack at 56.2% of the market. However, major American automakers like Ford and Chevrolet and smaller ones such as Hyundai and Rivian are catching up.
According to Electrek, Ioniq 5 sales rose by 92% in the final quarter of 2023. Last year, Hyundai captured 4.5% of the EV market with 51,411 new registrations.
Some experts believe the popularity of the 2024 Hyundai Ioniq 5 and the brand’s other electric models could push it up the rankings to challenge Tesla’s supremacy. In December, Hyundai EV registrations were up 62% year-over-year.
What Could Explain the Shift?
Part of the shift in driver preference away from Tesla can be explained by market expansion alone. The modern automaker was the first to manufacture an EV. Plus, its entire lineup is plug-in electric. Now, other automakers are taking the shift to EV technology more seriously.
Relative newcomers to the EV field typically offer incentives to buyers that make their products more appealing. The 2024 Hyundai Ioniq 5 and other electric vehicles made by the manufacturer all come with perks drivers won’t find at Tesla dealerships.
Hyundai EVs come with 10-year/100,000-mi powertrain and battery warranty protection, plus extras like unlimited roadside assistance and complimentary maintenance. New EVs come with Level 2 home chargers and two years of complimentary public charging.
All those perks go a long way toward drawing buyers away from Tesla and into the Hyundai fold. Plus, Teslas are still notoriously expensive, while other EVs are becoming more affordable. The anticipated opening of Hyundai’s first US-based EV and battery plant means drivers can save even more since its vehicles will qualify for the $7,500 tax credit.
Is It Time to Invest in Making the Switch to an EV?
Many drivers have been waiting to purchase their first EVs. Some want more competitive pricing, while others are nervous about the reliability of new automotive technologies. 2024 is the year for all of them to consider making the switch.
By avoiding Tesla and purchasing a more affordable and reliable vehicle like the 2024 Hyundai Ioniq 5, drivers can get everything they want in an electric car without spending a fortune. Add the extra incentive of a significant tax credit, and it’s clear that now’s the time to invest in an EV.
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