This article was prepared with AI assistance and checked against the cited references. Time-sensitive terms can change; confirm them with the linked primary source before acting.
The U.S. electric-vehicle market is sending different signals on the new and used sides of the dealership. Cox Automotive estimates that 77,266 new EVs sold in July, up 3.2% from June but down 41.5% from July 2025. Used EV sales reached 36,810, up 7.9% month over month and 10.1% year over year.
The comparison needs context. Cox says July 2025 demand was elevated as buyers moved purchases forward before federal EV tax credits expired on Sept. 30, 2025. Even with that base effect, July 2026 left new EVs at 5.6% of new-vehicle sales while used EVs held 2.4% of the used market.
Why it matters
Dealerships should not manage EV inventory as one demand pool. The new market remains concentrated and promotion-sensitive, while the used market is growing but carrying more supply. That creates different decisions for ordering, acquisition, appraisal, pricing, lead handling and F&I.
The most useful local question is not whether EV demand is broadly up or down. It is which models, price bands and ownership profiles are producing appointments, trades and profitable turns in the store’s market.
New EV volume remains concentrated
Tesla accounted for an estimated 42,435 July sales—about 55% of all new EV volume—and Model Y alone represented nearly 37% of the segment. That concentration means a national average can move sharply without describing demand for every franchise or model.
New EV days’ supply fell to 80 days, down 6.2% from June and 1.7% from a year earlier. It nevertheless remained four days above the combined supply of gasoline, diesel and hybrid vehicles. Cox’s Tesla and Rivian figures count traditional dealership activity and exclude those brands’ factory-owned outlets, an important limit when comparing channel performance.
Used EV demand grows as supply expands
Used EV sales increased from both June and July 2025, but supply grew faster. Days’ supply rose to 46, up 14.2% month over month and 13.6% year over year. Cox says used EV supply moved three days above the combustion-and-hybrid benchmark, its first positive gap since February.
The average used EV listing price was $37,832, down 1.2% from June but up 8.3% from a year earlier. It stood $2,967 above the average for used combustion and hybrid vehicles. Stores adding used EVs should therefore connect the acquisition decision to model-level turn, battery and warranty information, recon cost, local charging patterns and the customer’s total payment—not the national sales gain alone.
New EV incentives pulled back in July
The average new EV transaction price reached $56,126, up 1.2% from June and 1.6% year over year. Cox’s Kelley Blue Book report put average new EV incentives at $6,626, or 11.8% of transaction price. That was down from about $7,290 and 13.1% in June, and below the 15.8% share recorded a year earlier.
These are market averages, not current customer offers. Mix, trim, geography, credit, lease structure, dealer participation and program dates can all change the deal. Stores should use live manufacturer and lender systems for every advertised or quoted offer.
What dealerships should do now
New-vehicle teams can separate EV aging and lead conversion by model, trim and price band, then compare those results with the store’s combustion and hybrid inventory. Used departments can set acquisition caps from local retail turn, expected recon and post-sale support requirements instead of treating category growth as automatic protection against aging.
Sales and F&I teams should prepare a consistent explanation of charging, battery coverage, available condition information, payment structure and any current program eligibility. Management should also review EV gross, price changes, days to sale and wholesale exits separately for new and used units; the July figures show why a blended EV result can hide two very different markets.
Cox Automotive is a commercial market-data source, and all sales, supply, price and incentive figures are its estimates or reported measures. Tesla and Rivian results cover traditional dealership activity and exclude factory-owned outlets. The year-over-year new-EV comparison follows an unusually strong July 2025 ahead of the Sept. 30, 2025 federal tax-credit expiration. National averages do not establish local demand or an active customer offer.
Cited references
- Cox Automotive EV Market Monitor: July 2026 — Commercial U.S. EV market report; published Aug. 17, 2026; covers July 2026
- Kelley Blue Book July 2026 average transaction price report — Cox Automotive pricing report; published Aug. 11, 2026; covers July 2026