New EV Prices Rose in September as Discounts Shrank to Their Thinnest Level of the Year

New electric vehicle prices ticked up in September and discounts got thinner, according to Kelley Blue Book. The average new electric vehicle in the United States sold for about 55,900 dollars, up slightly from August, as automakers pulled back incentives to their thinnest level this year. Discounts averaged 11 percent of the transaction price, the lowest this year and well down from a year earlier.

The year-ago comparison needs context: that month was the last before the 7,500-dollar federal tax credit expired, so incentives then were unusually rich and this year pullback looks sharper for it. Zoomed out, the picture looks better, because the September average is about 3 percent below a year ago, which Kelley Blue Book credits to a stronger mix of cheaper models entering the market.

Tesla average price climbed from August to about 54,300 dollars, only slightly above a year ago, with the Model 3 and Model Y making up nearly all of its sales. Across all new vehicles, average prices climbed for a fourth straight month. Some deals are still big: Polestar is offering up to 25,000 dollars off its 4 SUV through early November, but that is one brand push, not a market-wide trend, so buyers should check the model they actually want. October data will show whether the discount pullback continues through year end.