North American EV Demand Drops Sharply Despite Rising Global Sales, Iran War

EV demand across the globe surged in April as steep gas prices and uncertainty over the Iran war continued to drive a shift in consumer perception of internal combustion engine (ICE) vehicles. EVs Decline In North America, Europe Posts Gains Despite an uptick in registrati

EV demand across the globe surged in April as steep gas prices and uncertainty over the Iran war continued to drive a shift in consumer perception of internal combustion engine (ICE) vehicles.

EVs Decline In North America, Europe Posts Gains Despite an uptick in registrations for EVs and plug-In Hybrid Electric Vehicles (PHEVs), Benchmark Mineral Intelligence data, cited by Reuters on Tuesday, showcased a 28% decline in registrations across North America to 120,000 units in April

Global registrations for EVs and PHEVs came in at 1.6 million, illustrating a 6% YoY jump from April 2025, the report said. Read Also: Auto Industry Urges Trump To Block Chinese EVs In US Ahead Of Xi Jinping Meet: Report Notably, companies like General Motors Co. (NYSE:GM) suspended EV efforts as the President Donald Trump administration relaxed emissions standards and ended the $7,500 EV credit offered till the end of September 2025 last year, which resulted in falling demand for EVs. However, companies like Ford Motor Co. (NYSE:F) are continuing EV efforts, with the automaker’s universal EV platform set to underpin a $30,000 pickup truck as well as eventually help develop Level-3 autonomous driving.

Meanwhile, Tesla Inc.‘s (NASDAQ:TSLA) Model Y continues to be popular in the U.S. market. Mexico was an outlier with sales nearly 50% higher so far this year, while Canada’s 7% dip could rebound with the reintroduction of the incentives for the zero-emission vehicle (iZEV) program, according to the report. On the other hand, Europe reported a 27% YoY jump to 400,000 units in April, the report said, also outlining a $235 billion commitment towards EVs by countries in the European Economic Area.

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