America passed the EV ‘tipping point’ – but many buyers still want gas

There is a theoretical, magic tipping point for adoption of electric vehicles. Once somewhere between 5 and 10% of new car sales are all-electric, some researchers say, huge numbers of drivers will follow. They predict then electric cars sales will soar — to 25%, 50%, and eventually to close to 80% of new sales. Early adopters who love shiny new technologies will be replaced by mainstream consumers just looking for a good deal.

Last year, the United States finally passed that elusive mark — 5% of all new cars sold in the fourth quarter were fully electric. And earlier this year, all-electric vehicles made up about 7% of new car sales.

Many in the U.S. are hesitating to make the switch from ICE to EV.

But even as the nation’s EV market appears to be teetering on the edge of an electric takeover, a hesitant American public — and a still-subpar charging infrastructure — could still hold the country back. A Washington Post-University of Maryland poll shows the current limits of U.S. enthusiasm for the new vehicles, with nearly half of adults (46%) saying they prefer to own a gas-powered car or truck. That compares to 19% who want a full-electric vehicle, 13% who want a plug-in hybrid and 22% who want a traditional hybrid vehicle.

Most technologies follow what is known as an “S-curve” for adoption: microwaves, smartphones, even gas-powered cars. First, the new technology reaches only a small segment of the population — new adopters and tech geeks. Then, engineers fix bugs, society builds infrastructure for the new technology, and suddenly adoption skyrockets. Usage can rapidly climb from just 5 to 10% of the population to up to 80%, where it often plateaus.

This has already happened in some countries with EVs. In Norway, for example, fully electric vehicles made up only about 5% of sales in 2013. By 2018, they had climbed to 30%. Today, more than 80% of cars sold in Norway are fully electric.

“That’s the kind of quintessential example” of the tipping point, said Corey Cantor, a senior associate for electric vehicles at BloombergNEF. California, he said, appears to be following a similar trend: About 7% of the state’s new car sales were electric vehicles in 2019, and in the first half of this year it’s about 25%.

Some countries or regions seem to shift after reaching 5% — others take a little longer. “It’s just an observed point between 5 and 10% where you start to see strong growth,” Cantor said.