Dealers claim that EV sales have slowed.

In 2022, consumers worldwide spent nearly $400 billion on electric cars, and the U.S. is predicted to add 1 million new EVs to its roads this year. From 2023 to 2027, automotive companies have pledged a total of $616 billion in investments in EVs, as per consulting firm AlixPartners.

And yet, electric vehicles are piling up at dealership lots.

According to Cox Automotive, the EV and ICE inventory began the year with about 52 days' supply. Days' supply measures the number of vehicles a dealer has on the lot. If automakers stopped producing cars today, dealers could sell cars for approximately 52 days before running out. Since January, EV days' supply has increased significantly while ICE supplies have fluctuated between 52 and 58 days. EV supply at the start of October was 97 days, down from the peak inventory of around 111 days during early July.

In August 2023, it took twice as long to sell an EV in the U.S. compared to January 2023. At the same time, gas-burning vehicles continued to sell well. While about half of consumers believe that EVs will eventually replace combustion engines, only a third of dealers share this view.

Tesla has drastically reduced prices, leading to disappointing sales for some electric vehicle startups, such as Lucid. Meanwhile, Ford Motor has increased hybrid production as demand for their EVs has decreased. Insiders attribute this to several factors, including high pricing, concerns over charging, and restrictions on subsidies.

Despite most charging being done at home, there is still concern about public-charging infrastructure, particularly for long trips, said Jeff Aiosa, owner of Mercedes-Benz of New London, Connecticut.

The shift toward EVs is inevitable, according to many, including Aiosa.

Watch the video to learn more.