California’s electric vehicle (EV) push under Governor Gavin Newsom faces mounting challenges as sales figures reveal a persistent slowdown, despite the state’s aggressive efforts to enforce a ban on new gas-powered cars by 2035. With results suffering ahead of a September deadline, reports indicate he is “panicking.”
Recent data shows that EV registrations in the second quarter of 2025 barely edged up from the previous quarter, while dropping significantly compared to the same period last year, raising questions about the viability of mandates that override consumer choice.
The California Energy Commission reported that 100,671 zero-emission vehicles (ZEVs) were registered from April to June, accounting for 21.6% of new vehicle sales. This figure represents a modest increase from the first quarter’s 100,326 but a notable decline from the 116,813 seen in the second quarter of 2024. Overall, the state’s ZEV market share has trended downward, slipping from 25.1% in the fourth quarter of 2024 to 23% in the first quarter of 2025 before hitting its current low.
The San Diego Union-Tribune reported:
The number of EVs registered between April and June in the Golden State came to 100,671, according to figures released by the California Energy Commission. That’s ever so slightly higher than the first-quarter figure of 100,326 but noticeably lower than the 116,813 registrations seen in the second quarter of 2024.
What’s more, the market share for sales of zero-emission vehicles dropped to 21.6% from April through June, down from 23% in the first quarter and 25.1% in the fourth quarter of 2024.
These trends persist even as federal incentives, including a $7,500 tax credit for new EVs and $4,000 for used ones, are set to expire on September 30, 2025. Additionally, EVs will lose their longstanding privilege of accessing carpool lanes without passengers after that date, a perk that has been in place for two decades. Such deadlines might have been expected to spur a buying rush, but the numbers suggest otherwise, pointing to deeper issues like high upfront costs, lengthy charging times, and widespread “range anxiety” among drivers worried about running out of power mid-trip.
Newsom first unveiled the EV mandate in September 2020, just weeks after a statewide power outage prompted officials to urge residents not to charge their vehicles during peak hours. The policy, finalized in 2022, aims to phase out sales of gas-powered cars entirely by 2035. Yet, as sales faltered by late 2024, the mandate’s future grew uncertain.
The situation escalated in May 2025 when the U.S. Senate voted to revoke the Environmental Protection Agency’s waiver that had allowed California to impose stricter emissions rules than federal standards. President Donald Trump signed the repeal into law in June, effectively blocking the state’s authority to enforce the ban.
In response, Newsom and California Attorney General Rob Bonta, joined by 10 other states, filed a lawsuit on June 12 challenging the congressional action as unlawful. The governor also signed an executive order that same day to reinforce the state’s commitment to clean vehicles, directing agencies to explore new policies and accelerate infrastructure development.
“This Senate vote is illegal,” Newsom stated in May, accusing Republicans of bypassing procedural norms to undermine decades of state autonomy on air quality.
State officials attribute the sales dip to external factors, including the federal repeal and reduced incentives, with the California Energy Commission noting that Tesla registrations plummeted 21% in the quarter—from 52,119 in Q2 2024 to 41,138—while non-Tesla ZEV sales held steady.
CEC Commissioner Nancy Skinner remarked, “Despite Trump’s full-on attack, Californians are choosing the clean simplicity of ZEVs. We are saying no to inhaling fumes at gas stations and handling dirty gas nozzles.”
CARB Chair Liane Randolph added, “This quarter’s modest decline in zero-emission vehicle sales is no surprise given the federal government’s misguided and ongoing assault on clean transportation.”
Critics, however, argue that the stagnation reflects fundamental flaws in top-down mandates that ignore market realities and consumer preferences. Nationwide, EV sales reached a record 607,089 in the first half of 2025, up 1.5% year-over-year, but California’s share—27% of U.S. totals—has not kept pace with expectations under its stringent rules. While proponents tout over 178,000 public charging ports and grants for low-income buyers, infrastructure gaps and grid strain remain concerns, especially in a state prone to blackouts.
This scenario underscores the pitfalls of government overreach in dictating energy choices. As litigation drags on, California’s EV ambitions may force residents to confront higher costs and limited options, all while sales data signals that true progress comes from innovation and affordability, not coercion. With the 2035 deadline looming, the outcome of this battle could reshape transportation policy far beyond the Golden State.
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Author: Economic Report
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