Mar. 11, 2022—People looking to avoid paying higher gas prices long term by trading in their gas-powered cars for an EV might find themselves in a jam, reports CNBC.
Current supply chain issues and low vehicle inventory levels mean consumers will most likely find themselves on a waiting list or paying a premium price.
“Even for people who want to switch to electric, they have nowhere to go,” said Jessica Caldwell, executive director of insights at Edmunds.com. “Anything you’re looking to buy, you’re on a waitlist … or even if you’re looking to downsize your purchase, you’re paying top dollar. It just doesn’t make sense to make a move right now.”
The Russia-Ukraine conflict has driven gas prices up as the national average for a gallon of gas is $4.06, up 45 cents in a week and $1.30 more than a year ago, according to AAA. Customers could face waits as long as a year or more to purchase EVs.
“If your plan is to switch to an EV, a hybrid or even a small vehicle, good luck,” said Michelle Krebs, executive analyst at Cox Automotive. “There are not many of them available.”
Despite surging gas prices and the desire to find a more economical driving solution, industry experts don’t foresee Americans changing vehicles solely to offset the cost at the pump.
“We see these temporary shifts,” Joseph said. “Long-term, Americans are very adaptable to fuel prices. It depends how long the fuel price stay high; it depends how long the availability stays the way it is.”
