“A notable downshift for BEV sales and market share is expected through the first half of 2026, as automakers and consumers adjust to post-incentive conditions. BEV share of sales in January are estimated to be 5.3%. The roll out of new BEV product over the course of 2026 should provide a floor for the downside, but little movement is expected for the sector in the first half,” S&P Global Mobility said.

Continued development of battery-electric vehicle sales remains increasingly uncertain. The auto policy implications of the One Big Beautiful Bill Act (OBBBA or One Big BAD Bill at AutoInformed.com – AutoCrat) and developing new regulatory standards could further temper long-term BEV demand growth.