Electric vehicles are taking over. The invasion arrives in the United States in 2022.

An American car buyer today could be forgiven for not realizing that electric vehicles are the next big thing. The percentage of electric vehicles sold among new car sales in the United States remains very low at less than 3%. There are several reasons for this, including changing government incentives and consumer preferences. But one of the main reasons is simply the availability of the model. There just aren’t many attractive EVs to buy in the United States – other than

You’re here

(symbol: TSLA).

Maybe this mismatch between goals and actual products means EVs are overrated. Before investors settle for that conclusion, they should look to China, the world’s largest new car market, where electric vehicles have accounted for around 20% of new car sales in the past two months.

“I think 10% is the inflection point when you get there, just boom,” says

XPeng

(XPEV) President Brian Gu. His take: When a new technology reaches 10% of new purchases, the technology goes beyond the early adopters and becomes mainstream.

But a penetration of 10% is no accident, the choice and the quality of the product are very important. “The reason… things exploded is that the product between 150,000 and 300,000 RMB has a lot of very good, very attractive products.”

Relocating electric vehicles for sale has resulted in increased sales of electric vehicles. Go figure it out.

A car costing 150,000 to 300,000 RMB in China costs around $ 25,000 to $ 50,000.

Americans need more EV products to achieve higher EV sales rates. And they’ll have a shipment of new electric vehicles to choose from in 2022 and 2023, starting with trucks. Tesla’s Cybertruck, the

Rivien Automobile

(RIVN) R1T and the

Ford engine

(F) The F-150 Lightning arrives in 2022. The

General Motors

(GM) All-electric Hummer and Cadillac Lyric will also arrive next year. The electric Chevrolet Silverado is scheduled for 2023.

Automakers need more models if they are to achieve their ambitions for electric vehicles. GM wants to become a seller of fully electric vehicles by 2035. Ford expects 40 to 50% of global vehicle sales to be electric vehicles by 2030. This is not far behind the targets. parent company of Chrysler.

Stellantis

(STLA) as well as

Daimler

(DAI.Germany),

Volkswagen

(VOW.Germany) and now Toyota.

Ford, of course, sells the all-electric Mustang Mach E and plans to make around 200,000 a year by 2023.

Volkswagen has the ID.4 for US consumers on sale today. The ID.5 crossover will go on sale in Europe next year, but it is not expected to cross the pond.

Mercedes will sell its EQB SUV in North America in the first half of 2022. The premium Mercedes EQS is now available for purchase in the United States.

Bmw

(BMW.Germany) will launch its all-electric i4 coupe in the United States this coming year. The Volvo EV Polestar spin-out now has two models on sale: the Polestar 1 and the Polestar 2. The 2 will cost as little as $ 39,000 after federal tax incentives.

The Subaru Solterra SUV will also arrive in 2022. It is also, essentially, the first Toyota EV from the 30 by 30 plan. The Solterra SUV architecture was developed jointly with Toyota.

Soon after all this should happen on

Fisker

(FSR) Ocean SUV.

Adding all that up, US car buyers will have roughly 20 EV models to choose from in 2022, up from around 10 in 2021 and more on the way in 2023. That’s a big increase. Remember that there are approximately 300 car models on sale in the United States.

Regardless of when new models arrive, investors are happy with the direction Toyota is taking. Toyota (TM) stock has had a nice bump since its announcement on Tuesday. US certificates of deposit, or ADRs, were up around 2.6% at the end of the session. the

S&P 500
and

Dow Jones Industrial Average
are down 10.5% and 0.1% respectively.

Write to Al Root at [email protected]