In March 2025, U.S. electric vehicle (EV) registrations soared by 20%, reaching 115,758 units, driven by consumer anticipation of price hikes from looming tariffs on imported autos and parts, according to S&P Global Mobility. This growth outpaced the overall light-vehicle market, signaling robust demand for EVs despite challenges like range anxiety and charging infrastructure, according to Automotive News.

Tariff Fears Drive Consumer Demand

The surge in EV registrations coincided with President Donald Trump’s early March announcement of a 25% tariff on imported autos, impacting popular models like the Chevrolet Equinox EV and Ford Mustang Mach-E, both manufactured in Mexico. “March was way up across the industry, and I don’t think it’s coincidental that happened at the same time as all of these announcements on tariffs started,” said Tom Libby, an analyst at S&P Global Mobility. Consumers rushed to purchase EVs before potential price increases, boosting the EV market share to 7.5%, up from 7.1% a year earlier.

Electric Vehicle Registrations Surge 20% In March Amid Tariff Concerns

New Models Fuel Growth

Newer EV models, such as the Chevrolet Equinox EV, Honda Prologue, and Acura ZDX, drove much of the March gains. The number of battery-electric models with at least 10 registrations grew to 78, up from 55 a year ago, with notable additions like the Volkswagen ID Buzz (877 registrations) and Jeep Wagoneer S. Chevrolet tripled its sales to 8,478 units, securing the No. 2 spot among EV brands, while Tesla, the market leader, posted a modest 1.1% gain to 51,042 units. However, Tesla’s Model Y saw a 24% drop to 28,108 units due to supply shortages after a model refresh, while the Model 3 surged 157% to 18,686 units.

Industry Trends and Challenges

Despite the March spike, EV market share growth has slowed, rising to 7.7% in Q1 2025 from 6.9% a year earlier. “The growth is very slow,” Libby noted, highlighting that no non-Tesla EV model exceeded 5,000 units in March. Hybrids, with a 14.1% share, are gaining traction as consumers favor their flexibility over full EVs, which face persistent issues like charging infrastructure and range concerns. “There’s the original EV issues, which was the price premium, the charging infrastructure and range anxiety,” Libby said, adding that while incentives have reduced cost barriers, infrastructure challenges remain.

Economic and Regulatory Outlook

The EV surge reflects economic sensitivity to tariffs, which could raise prices for imported models and parts, potentially costing consumers thousands more. For example, a $30,000 Equinox EV could see a $7,500 price hike under a 25% tariff. Regulatory uncertainty, including potential changes to EV tax credits, adds volatility. Cox Automotive noted, “Despite many obstacles… electric-vehicle sales continue to grow at a healthy pace in the U.S. market,” but warned that 2025 could be turbulent due to tariffs and policy shifts, per their April report.

What’s Next for EV Enthusiasts

For EV owners and enthusiasts, the March data underscores the appeal of new models and the urgency to buy before tariffs hit. However, the slower market share growth signals a need for better charging networks and competitive pricing to sustain momentum. As automakers like Chevrolet and Cadillac (with an 86% registration increase to 3,373 units) expand their EV lineups, consumers can expect more options, but hybrids may continue to steal the spotlight until EV infrastructure catches up.