New Jersey is experiencing a decrease in electric vehicle registrations compared to last year, according to data released on Mar. 31 by the Alliance for Automotive Innovation. The state remains among the top ten nationwide for EV registration rates, with 12.2% of new vehicles registered as electric in 2025, ranking seventh highest in the United States.
The decline comes amid broader national trends following the expiration of a $7,500 federal tax credit for plug-in and hybrid models. In its quarterly Get Connected report, the Alliance said that EVs accounted for 9.6% of U.S. auto sales in 2025, representing a drop of 0.6% from levels seen in 2024.
After drivers lost access to the $7,500 tax credit, EV sales made up just 6.5% of total U.S. auto sales during the three months following this change—a decrease from the previous year’s figure of about 10%. New Jersey’s current rate is also down by approximately 1.82 percentage points compared to its own figures from last year.
California continues to lead all states with an EV registration rate of nearly one-quarter at 23.9%, though this too represents a decline—down by more than two percentage points from last year’s numbers.
The latest report notes that national EV sales during the fourth quarter of 2025 were at their lowest point since early 2022.
The New Jersey Business and Industry Association serves as the nation’s largest statewide employer association and represents private-sector employers throughout New Jersey according to its official website. The association advances competitive excellence and financial success among its members while providing advocacy, information, cost-saving benefits, and facilitating partnerships between businesses, government entities, and academic institutions according to its official website. Michele Siekerka serves as president and chief executive officer according to its official website.
