A report indicates that the market share of electric vehicles (EVs) in the United States is expected to continue growing, driving progress towards local climate goals.

Currently, states like California are gradually phasing out gasoline vehicles in favor of fully electric vehicles. A new report from battery data company Recurrent Auto forecasts that by 2030, EV penetration in the U.S. will reach 50%.

The report also predicts that by the end of 2025, EVs will hold a 15% market share in the U.S., marking a potential milestone in EV adoption.

Recurrent Auto cites data from organizations such as the International Energy Agency in its report. The IEA estimates that U.S. EV sales will reach between 9.5 million and 9.6 million vehicles by 2030, higher than the previous estimate of 8.3 million to 8.4 million vehicles.

Key factors driving this optimism include declining costs of EV batteries and efforts by some U.S. states to achieve zero emissions and improve tax incentives.

Notably, in 2022, Recurrent Auto predicted Tesla's Model Y would become the best-selling model globally in 2023, a prediction that was later proven true.

Data shows that in 2023, EVs accounted for 7.6% of the U.S. new car market, up from 5.9% in 2022. In the fourth quarter of 2023, local EV sales set a new record, with EVs capturing a record 8.1% market share in the U.S.

Over the coming years, Tesla is expected to benefit most from the optimistic sentiment towards EVs in the U.S.

Despite a slight decline in market share from 65% in 2022, Tesla continues to dominate the U.S. EV market with a 55% share in 2023. However, Tesla claimed three of the top ten best-selling EVs in the U.S. in 2023.

Ford Motor Company and General Motors' Chevrolet brand ranked second and third in U.S. EV sales in 2023. Ford sold 72,608 units, a 17.9% increase year-over-year, while Chevrolet sold 62,988 units, marking a 65.2% increase.

Electric vehicle manufacturer Rivian Automotive also stands to benefit from the latest forecasts, with strong sales in 2023 and plans for future vehicle launches. In 2023, Rivian sold 50,189 vehicles in the U.S., a 143.3% increase year-over-year. The R1S ranked seventh, while the R1T sold 17,727 units, placing it outside the top ten.

The report also notes that the participation of other automakers, including Chinese brands, could impact sales for companies like Tesla, General Motors, and Ford.