US vehicle retail sales for January are expected to increase 4.8% from a year ago, consulting firm J.D. Power said in a new report.
For January, typically the month with the lowest sales volume of the year, the automotive consultant expects sales to reach 904,200 units, an increase from about 863,000 in January 2024.
“The decrease from December reflects normal seasonal patterns as year-end promotional events conclude,” J.D. Power says while noting that carmakers’ discounts are increasing. The average incentive per vehicle is expected to grow by 29.3% compared to last year, exceeding $3,200.
J.D. Power’s vice president of the EV practice, Elizabeth Krear, said EV sales in the U.S. “were strong in December, reaching a monthly high retail share for the year at 10.5%.”
Last year, EV sales in the country accounted for an average of 9.1% of total vehicle sales, a slight increase of 0.7% compared to 2023.
The firm attributes December’s strong figures to consumers rushing to purchase EVs in order to secure federal tax incentives, along with additional incentives offered by manufacturers.
In late 2024, the firm published its 2024 US Automotive Performance, Execution and Layout (APEAL) Study, revealing that Rivian topped the ranking with 900 points out of 1,000.
The company was followed by Porsche with 891 points while Tesla (with 870) was the closest competitor among the pure electric vehicle makers.
According to the study, owner satisfaction with new-vehicle design and performance has rebounded in 2024 after two years of decline. The average satisfaction rating in this year’s study is 847, up from 845 last year.
The study concluded that newer fully electric models are achieving higher scores as they feature better battery range and interior materials.
