2.05.2025

"Canadian Interest in EVs Declines for Third Year"

TORONTO — Fewer Canadians are considering buying an electric vehicle, marking the third year in a row interest has dropped despite lower EV prices, a survey from AutoTrader shows

TORONTO — The interest in electric vehicles (EVs) among Canadians has reached a declining trend for the third consecutive year, despite a notable decrease in EV prices. According to a recent survey conducted by AutoTrader, only 42 percent of respondents are considering an EV as their next vehicle. This figure marks a decrease from 46 percent the previous year and a staggering drop from 68 percent in 2022.

As the survey results indicate, just 29 percent of participants express an exclusive interest in purchasing an EV, down significantly from 40 percent last year. This notable decline raises questions about the factors influencing consumer perceptions of electric vehicles amidst evolving market dynamics.

The survey, which gathered responses from 1,801 individuals via the AutoTrader website, highlights several key concerns among potential EV buyers. Notably, respondents cite the diminished government incentives, inadequate charging infrastructure, and uncertainties regarding long-term costs as significant deterrents to making a purchase. These factors appear to outweigh the recent trend of falling EV prices.

According to the AutoTrader price index, electric vehicle prices fell by 7.8 percent in the last quarter of 2024 compared to the same period the previous year. Despite this price reduction, the interest in EVs remains tepid, prompting industry analysts to examine deeper systemic issues that could be at play.

The survey, conducted between February 13 and March 12, reveals that a substantial 68 percent of non-EV owners believe that government incentives could play a crucial role in influencing their decision to consider EVs. Furthermore, just over half of the respondents indicated that available incentives boost their confidence in purchasing an electric vehicle.

This data underscores a growing disconnect between potential EV buyers and the current market offerings, as government policies and infrastructure continue to influence consumer behavior significantly. The three-year downward trend in interest raises important questions about the sustainability of electric vehicle adoption in Canada, particularly as the market evolves in response to both consumer preferences and regulatory frameworks.

In conclusion, the findings from AutoTrader illustrate a complex landscape where declining interest in electric vehicles persists despite favorable pricing changes. As the automotive industry seeks to transition towards greener technologies, understanding and addressing consumer concerns will be essential for stimulating renewed interest in electric vehicles across Canada.