Over the past year, the automotive industry has faced challenges such as shortages of chips, high inflation, and rising interest rates. Total new vehicle sales in the United States declined 8% year-over-year in 2022, registering its worst performance in over a decade.
However, the sale of electric vehicles (EVs) rose 65% year-over-year, increasing almost two-thirds compared to 2021. In 2022, EVs accounted for 5.8% of all new car sales in the United States, up from 3.1% in 2021. With more manufacturers launching EVs, the automotive industry is expected to witness strong demand in the long term.
