02:35 07-01-2026

Inside the 2026 U.S. auto market: deregulation and a pivot from pure EVs to hybrids and PHEVs as incentives fade

By early 2026, the U.S. auto market is operating under a new logic: instead of a dash toward accelerated electrification, the emphasis is increasingly on deregulation, protectionism, and a pragmatic buyer’s calculus. The White House is openly marking this change in course after Donald Trump’s return, SPEEDME.RU notes after analyzing shifts across the world’s second-largest car market. The pivot reads less like a revolution and more like a recalibration shaped by politics and pocketbooks.

The most sensitive lever for EV demand is money. At the end of 2025, the market saw a rush of pre-deadline purchases as federal EV incentives began to wind down and some shoppers hurried to capture the discount while it was still available.

Then ownership economics took center stage: high borrowing costs sharpen price sensitivity, and without subsidies EVs are tougher to move in volume. Consequently, automakers increasingly talk not about a rapid leap but about a portfolio strategy in which hybrids and PHEVs serve as the main bridge, while pure electric models are rolled out selectively where margins and charging infrastructure are ready. That playbook makes sense in a high-rate environment, trading momentum slogans for sustainable traction.