E-Vision Intelligence Report
May 2025
Key Findings
- EVs Currently More Affordable Than They Will Be in the Future: The current average transaction price for a new battery-electric vehicle (BEV) is $45,600, which is just $500 higher than the average transaction price for non-BEV vehicle, but that average BEV price will surge to $51,200 the moment the $7,500 federal EV tax credit is lifted, and will likely climb higher than that if the cost of tariffs is incorporated.
- EV Market Share Continues to Grow Despite Regulatory Uncertainty: BEV market share grew 18% in the first quarter of 2025 over the first quarter of 2024, with the bulk of that growth being driven by mass market franchise sales.
- Current EV Inventory Represents 6.4% of New Vehicle Market: As the volume of new BEV models has continued to grow, with over 60 different BEV models on sale in the United States, dealer inventories have swelled, currently reaching 6.4% of total new vehicle inventory, or about 137,000 vehicles – all of which are still eligible for federal tax credits and are not subject to tariffs.
Executive Summary
While the Trump administration has pledged to end the $7,500 federal tax credit on EVs and new tariffs on imported vehicles and parts will likely drive costs of newly manufactured EVs higher, there are currently about 155,000 new EVs sitting on dealer lots that are still eligible for the federal tax incentive and are not subject to tariffs, creating a unique buying opportunity for those currently in the market. It may not be here for long.
This E-Vision Intelligence Report dives into key data points trending in each monthly JD Power EV Index update, along with other data points gathered from JD Power studies and pulse surveys, to offer a data-driven consumer perspective on the EV customer experience.
Cash on the Hood
BEV prices have been steadily falling for the past three years and have now reached parity with non-BEVs – even dipping below the average non-BEV transaction price in July of 2024. Through the first quarter of 2025, the average new BEV transaction price is $45,600, which is $500 more than the average transaction price for a non-BEV. That price parity comes with a big caveat, though. The BEV prices are getting a $7,500 assist from the federal government through the clean vehicle tax credit, which the Trump administration has pledged to remove. Without that credit, the average BEV transaction price could climb to $51,200, a $6,100 premium over non-BEVs.
Additional costs introduced through auto industry tariffs would further extend that gap between BEV and non-BEV transaction prices.

Growth of Mass Market EVs Keeps Demand High
Total market share for BEVs has climbed to 9.5% through the first quarter of 2025, up 18% from the same period last year, and slightly ahead of our forecast for largely stagnant growth this year. The increase in volume is being driven by mass market franchise BEV sales, which rose 58% in 2024 to reach 376,000 total vehicles sold. This growth in demand has been driven by a combination of lower prices and dramatic expansion of BEV model line-ups.

137,000 Reasons to Buy an EV Right Now
A confluence of market dynamics and geopolitical factors have conspired to create a unique buying opportunity for consumers who are currently considering a new BEV. Manufacturers, under regulatory pressure to electrify their fleets, have flooded the market with new models causing current new model BEV dealer inventories to reach 6.4% of the total new vehicle market. That means 137,000 new BEVs are currently sitting on dealer lots – and they are still eligible for the $7,500 federal tax credit and have not been subject to tariffs.
This combination of supply, existing incentives and the threat of significantly higher prices on the horizon could make this the most opportune time to be in the market for a BEV.
Longer term, our focus will be on how manufacturers and dealers confront the removal of the clean vehicle credit and tariffs, whether or not those increased costs will be passed along to consumers and what effect those changes will have on consumer demand for BEVs.
Methodology
This JD Power E-Vision Intelligence Report is based on data and insights from the JD Power EV Index, the JD Power EV Retail Share Forecast, the JD Power 2025 U.S. Electric Vehicle Experience (EVX) Ownership Study and the JD Power U.S. Electric Vehicle Consideration (EVC) Study. The JD Power EV Index is an analytics tool to benchmark the growing EV market in the United States. It tracks millions of data points aggregated into six categories—interest, availability, adoption, affordability, infrastructure and experience—to evaluate the progress to parity of EVs with gas-powered vehicles in the U.S. Each month, the JD Power electric vehicle practice will analyze these data points, and others to spotlight emerging trends and important shifts in consumer sentiment that are helping to define the fast-moving EV marketplace.
Find out More
This report was authored by Brent Gruber, executive director, electric vehicle practice. The JD Power E-Vision initiative is a company-wide program focused on maximizing JD Power industry-leading EV data, analytics, insights and solutions. Please contact us at the numbers below to connect with Mr. Gruber or to learn more about the underlying research.
Media Contacts
Shane Smith; East Coast; 424-903-3665; [email protected]
Geno Effler, JD Power; West Coast; 714-621-6224; [email protected]











