In China, EVs are now cheaper than gas cars. In the U.S., the Big Three still haven’t closed a premium that’s $14,000 per vehicle

Man in red shirt charges his BYD car while wearing earbuds. (Credit: Lauren DeCicca/Getty Images)

• China has already made EVs cheaper than gas cars, while U.S. EVs carry a premium of about $14,000, though the gap has shrunk since 2019. Meanwhile, the Big Three remain unprofitable on EVs and slow to scale, a struggle tied to a lack of supportive policies from the federal government, according an expert.

China has now crossed a massive benchmark in the electric-car race: battery-powered vehicles are now cheaper than their gas counterparts. In the U.S., by contrast, EVs still face a steep premium; roughly $14,000 on average, according to new data from JATO dynamics, an automotive data analytics firm.