A view of the Toyota RAV4 Hybrid on display before the Washington Nationals vs. Tampa Bay Rays game at Nationals Park on April 3, 2023 in Washington, DC. (
G Fiume | Getty Images
DETROIT — U.S. auto sales in the second quarter are shaping up to be a story of the haves and have-nots, with automakers with hybrid models outpacing those without amid rising gas prices and declining demand for all-electric vehicles.
The world leader in hybrids toyota motors reported Wednesday that second-quarter sales rose 1.1%, driven by a nearly 20% increase in electric vehicle sales.
Hyundai reported a 67% increase in hybrid vehicles in the first half of this year, up 4% last quarter. honda motor industry reported an 8.4% increase in overall sales in the second quarter due to record electrification sales. Kia Motors, which rose about 3%, also reported a 152% increase in hybrid sales in the second quarter.
“Hybrid is definitely our growth engine right now,” Hyundai and Genesis North America CEO Randy Parker said on a Wednesday call. “I think hybrids are really gaining traction now as consumers prioritize fuel efficiency and lower operating costs due to rising gas prices.”
Gasoline prices are up more than 20% compared to the same period last year, according to AAA.
meanwhile, general motorsAlthough it offers a wide lineup of EVs, it only has one hybrid model, the low-volume Corvette, and reported a 4.2% sales decline in the second quarter.
With GM, the top-selling U.S. automaker, and Toyota, No. 2, lining up hybrid vehicles, Cox Automotive said last week that the Japanese automaker is closing the sales gap with the Detroit automaker.
“Given what we’re seeing now with these rates and sales rates, GM may be looking at Toyota potentially overtaking GM as the top selling manufacturer here in the U.S. market by the end of the year,” Charlie Chesbrough, senior economist and senior director of industry insights at Cox Automotive, said at a media event.

Cox Automotive and JD Power expect second-quarter sales to be roughly flat from a year ago. Cox expected auto industry sales to decline 0.5%, while JDP predicted auto sales would rise 0.7%.
Automotive data firm Motor Intelligence on Wednesday estimated U.S. industry sales rose 7.5% in June from a year earlier, for an adjusted monthly sales pace of 16.67 million units, which was higher than many forecasters expected.
As of last week, Cox Automotive had predicted that U.S. auto sales would decline 2.9% to 15.8 million vehicles, with retail sales falling 3.4%. This includes June’s adjusted sales rate forecast of 16.1.
non-hybrid
Q2 outliers include Chrysler’s parent company Stellantisan increase of 5.9%. nissan motorsan increase of 9.6%. Both offer limited electric models, including hybrids and EVs, but are in the midst of sales-focused restructuring plans.
“At a time when we are focused on maximizing the value of every dollar our customers spend, our lineup offers a strong combination of quality, features and the right products,” Tiago Castro, senior vice president of sales and marketing for Nissan America, said in a release Wednesday.
For car manufacturers, it is important to have the right mix of products. Now, as many Americans face inflation, high gas prices and other issues that force them out of the new car market, the right mix, aside from hybrids, increasingly means getting an affordable car.
The 2027 Ram 1500 SRT TRX exhibited at the New York International Auto Show held in New York City on April 2, 2026.
Daniel DeVries | CNBC
U.S. new car sales are expected to be relatively flat or down this year, according to multiple analyst and company forecasts.
ford motorThe company, which releases sales results on Thursday, is also expected to be an outlier. Cox Automotive expects production to decline 11.5% in the second quarter as the company grapples with declining pickup truck production.
Cox is also looking forward to it. teslaThe company does not report regional sales, but they are expected to decline more than 20% in the second quarter as EV demand began to surge last year ahead of expectations that the Trump administration would provide consumers with up to $7,500 in EV purchase incentives.
GM
GM announced that EV sales in the second quarter were down 33% from a year ago.
GM’s brands saw sales decline in the second quarter compared to the same period last year, led by Cadillac, which saw a 19.2% decline. Buick sales were down 7.5%, Chevrolet sales were down 3.9%, and GMC sales were down 0.3%.
Despite declines in products such as the flagship Chevrolet Silverado, GM executives said the company’s business is “strong”, including sales incentives and maintaining discipline around profitable full-size pickups.
“Our business is strong and customer demand is resilient, particularly for trucks and SUVs,” Duncan Aldred, president of GM North America, said in a release. “The depth, breadth and attractiveness of our vehicle portfolio allows us to lead the market in sales while maintaining inventory, pricing and incentive discipline while delivering high margins.”
GM said it still expects to gain market share in the full-size truck segment during the period, despite a 7.7% decline in Silverado pickup trucks in the quarter (including a 25.9% decline in electric trucks).
The company’s GMC Sierra pickup truck performed well, with sales up 5%, and despite tough comparisons, electric and compact 1500 models posted double-digit growth. In 2025, GM’s combined sales of Silverado and Sierra full-size pickup trucks will reach the highest level in 20 years, leading GM to lead the lucrative U.S. segment for the sixth year in a row.
