U.S. hybrid-car sales soar, along with gas prices

U.S. hybrid-car sales jumped 37 percent in the two months following the start of the Iran war in late February, as rising gas prices pushed consumers toward fuel-efficient vehicles, according to Motor Intelligence. Gasoline prices reached a four-year high of over $4 in late April, accelerating demand for hybrids, which combine a gas engine with an electric motor. In contrast, electric vehicle (EV) sales grew just 11 percent in the same period, remaining depressed after a $7,500 federal tax credit expired last autumn. Hybrids have gained traction due to their lower cost compared to EVs and their familiarity to drivers, who don’t need to adapt to charging routines. CarGurus data shows hybrid searches rose from 12 percent to 14 percent of total vehicle inquiries in April, while EV searches increased from 3.4 percent to 5 percent. Toyota, which pioneered hybrid technology with the Prius in the late 1990s, saw its U.S. electrified vehicle sales grow 34 percent, driven largely by hybrid models like the RAV4 SUV and Camry sedan. Despite high gas prices, pickup truck sales climbed 20 percent in March and April, with dealers reporting that discounts and promotions outweighed fuel cost concerns. Toyota dealer Todd Szott noted that buyers remain focused on affordability, particularly with incentives from automakers. Meanwhile, Europe saw stronger EV adoption, with U.K. sales up 79 percent and Germany’s up 39 percent, attributed to stricter emissions rules and more affordable models. The shift toward hybrids reflects a cautious approach to electrification in the U.S., where consumer interest in full EVs remains limited. Analysts suggest that until more affordable and accessible EV options become available, hybrids will continue to dominate as a compromise between sustainability and practicality.