Record EV sales lead GM, Ford to 8% increases in Q3 U.S. auto sales

Electric Vehicle Sales Drive Robust Third-Quarter Results for Major Automakers

As the world continues to shift towards sustainable transportation, major automakers have reported impressive third-quarter results, largely driven by strong electric vehicle (EV) sales. The surge in EV sales can be attributed to consumers rushing to take advantage of the $7,500 federal incentives before they expired in September. Ford Motor, General Motors, and Hyundai all reported record quarterly sales of all-electric vehicles from July through September, with GM’s EV sales more than doubling and Ford’s increasing by 30% compared to the same period last year.

Automakers’ Performance

Both GM and Ford saw their overall sales increase by roughly 8% from a year earlier, while Hyundai’s namesake brand recorded a 13% year-over-year sales increase during the third quarter, led by doubling sales of all-electric vehicles. Japan’s largest carmakers, such as Toyota Motor and Honda Motor, reported varying results for the quarter, with Toyota’s quarterly sales increasing 16% and Honda’s sales falling 2% from a year earlier. Nissan Motor reported an increase of 5.3%, while Chrysler and Jeep parent Stellantis saw a roughly 6% sales increase during the third quarter.

GM remains the top automaker in U.S. sales through the third quarter of this year, with the company estimating a market share of 17.2% – its highest position since 2015. GM North American President Duncan Aldred stated that the company is well-positioned for a changing U.S. market, with a strong lineup of internal combustion engine (ICE) and EV vehicles, and consistently strong pricing, low incentives, and inventory.

Industry Outlook

The industrywide sales pace for the third quarter is estimated to be between 16.7 million and 16.9 million units, higher than some earlier industry estimates, led by gains in EVs. U.S. EV sales during the third quarter are expected to be a record, with buyers pulling ahead plans to purchase a new zero-emissions vehicle ahead of the federal EV incentives ending in September. Cox Automotive forecasts sales of EVs to hit 410,000 during the third quarter, up 21% from a year earlier, which would easily be the highest amount of EVs ever sold in a quarter in the U.S.

Some automakers are taking steps to maintain their EV sales momentum after the end of the tax credit. Hyundai, for example, is reducing pricing for its 2026 Ioniq 5 EV by up to $9,800 and offering a $7,500 cash incentive on 2025 models, matching the federal credits. GM and Ford have also essentially extended the use of a $7,500 U.S. tax credit on leases of electric vehicles by rolling out programs to their retailers. As the EV market continues to evolve, it will be interesting to see how automakers adapt to changing consumer demand and government incentives.