{"id":19268,"date":"2024-10-21T10:00:55","date_gmt":"2024-10-21T01:00:55","guid":{"rendered":"https:\/\/askinno.com\/global\/?p=19268"},"modified":"2025-11-02T14:13:32","modified_gmt":"2025-11-02T05:13:32","slug":"how-evs-are-becoming-the-value-choice-in-north-america-by-james-carter","status":"publish","type":"post","link":"https:\/\/askinno.com\/global\/archives\/19268","title":{"rendered":"How EVs are becoming the value choice in North America (by James Carter)"},"content":{"rendered":"

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“Purchase cost is no longer a major concern for EV buyers in the US”<\/span><\/em><\/strong><\/p>\n

A few weeks ago, one of my neighbourhood friends here in Toronto was asking for my thoughts on buying a hybrid SUV to replace their decade old minivan.<\/span><\/p>\n

My immediate response was to suggest considering an EV, though I had assumed it would be significantly more expensive. Wanting to double check, I jumped on the OEM\u2019s websites and compared lease payments. What I found surprised me.<\/span><\/p>\n

The vehicle they were looking at was a Toyota RAV4 hybrid in mid grade XLE trim, so I chose the Tesla Model Y RWD to do price a comparison. After some adjustments to account for down payment, incentives and lease term length, I was shocked to find that the RAV4 was less than CA$50 per month cheaper than the Tesla. In British Columbia and Quebec, which add local provincial EV incentives, the Tesla was over CA$50 a month cheaper!<\/span><\/p>\n

Yet the Tesla has more room, more standard features and technology, much better performance, a higher safety rating, and is much cheaper to run and maintain. The value is there, plus it is MUCH cheaper to run.<\/span><\/p>\n

This comparison is important as these two SUVs are the #1 and #2 top selling (non-pickup) vehicles in North America, which means that many people are doing this calculation. <\/span><\/p>\n

Some further research found that the business publication Forbes<\/span><\/a><\/span><\/span> had come to the same conclusion. They found als<\/span>o most half of all EVs sold in the North American market are now cheaper to own than their ICE equivalents.<\/span><\/p>\n

\"\"\u25b2References: CarEdge<\/a><\/span><\/span>, Kelly Blue Book<\/a><\/span><\/span><\/span><\/p>\n

Moreover, JD Power<\/a><\/span><\/span>\u2019s recently completed study on EV cost of ownership over a 5-year time frame versus a traditional combustion vehicle had similar results. This study found that in 48 out of 50 US states it made more financial sense to buy an EV versus an equivalent ICE vehicle, sometimes to the tune of more than US$10,000.<\/strong><\/span><\/p>\n

That\u2019s huge cash in most buyers\u2019 language.\u00a0<\/span><\/p>\n

The first question to ask is how this can be the case. Weren\u2019t EV supposed to be much more expensive?<\/span><\/p>\n

The answer is that they were, but not now; and there\u2019s five reasons why this is the case.<\/span><\/p>\n

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