Nearly 12,000 Californians bought EVs under state rebate program

what happened

California officials said on Friday that nearly 12,000 residents have bought electric vehicles with the help of rebates under a new $270 million program. The state and automakers are funding it. The scheme for first-time EV buyers was signed into law by Governor Gavin Newsom in July. It offers $3,500 off new EVs priced up to $50,000 and $1,750 off used EVs costing no more than $25,000.

Overall EV sales have nonetheless declined in California and nationwide after the Trump administration removed federal incentives. According to the state, EVs made up 18% of sales through September 30, down from 23% a year earlier and 25% in 2024. Funds for Tesla models under the program are already exhausted. Per TradingView, rebates are still available through participating brands, including Ford, GM, Honda, Hyundai, Kia, Toyota, Lucid, Nissan, Rivian, Subaru and Volvo.

why it matters

The story is mainly about the auto sector: demand for electric vehicles remains under pressure after federal incentives were cut, and state programs only partly offset the decline. For automakers, especially Tesla, which accounts for more than half of EVs sold in California, this is a signal about the shape of demand.

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