Used electric vehicles sales account for less than 2% of total retail used-vehicle sales across the US, but numbers are growing

Though EV uptake has been relatively slow in the US, sales of used EVs have started to pick up, especially among consumers looking for more affordable options, according to a report by Cox Automotive. In 2023, some 176,918 used EVs were sold nationwide, a jump from 121,668 in 2022. In the first quarter of 2024, the average price of a new EV was $50,172, including the $7,500 federal tax credit. That compares with $34,132 for a used EV. A slow market with many concerns, including battery degradation, resale value, and a lack of charging infrastructure, still keeps demand low in the metro Detroit area. Federal law requires automakers to offer an eight-year/100,000-mile warranty on EV batteries. Still, car buyers should confirm warranty transfer with dealers because it's not true across the board. A new report from J.D. Power and Motorq, with support from automakers, is close to launching the J.D. Power EV Battery Health Report, which will study driving data from a new EV to show a profile for the next buyer, building battery health reports. Currently, Cox Automotive has the technology to measure EV battery health for each vehicle that passes through its Manheim auction. A report by Plug, an online used EV wholesaler, stated that more compelling new EVs will be released in the next few years, challenging the used EV market.