Californians Are Shunning EVs For Hybrids

California's hippy-dippy new-age woke obsession with electric vehicles is showing signs of fading. New car buyers in the Golden State bought more hybrids than fully electric vehicles in the first half of 2026, breaking a four-year streak of EVs beating out hybrids. This shift also gave traditional dealerships a boost over direct-sales brands like Tesla, Rivian and Lucid.

Hybrid vehicles made up just about 25% of California's new-vehicle registrations in the second quarter, Automotive News reports. At the same time, pure EVs accounted for 16%, according to data from California's New Car Dealer Association. Of course, it won't come as a surprise that California is still the country's largest EV market, and that's not expected to change. However, some analysts say this newfound lead for hybrids isn't just a momentary blip, but the start of a trend.

Here's what one analyst told AutoNews:

"It's not like EVs are going away in California. It's just that with hybrids, there are so many more options," said Brian Moody, an independent auto analyst.

Hybrids enjoy broad consumer appeal for their fuel savings amid California's sky-high gasoline prices without the compromises that come with EV ownership, such as limited range and charging, Moody said. The average gasoline price was $5.65 on July 30, according to AAA.

Another reason hybrids are seeing such a jump in popularity is the simple reason that so many "normal" cars are now offered with them. Automakers like Toyota are offering cars that once came with gas motors exclusively as hybrids, and that's driving sales to some degree, according to Moody. Folks who weren't intentionally looking for hybrids are ending up with them.

Standard, non-plug-in hybrids captured 22.1% of California's 864,848 registrations in the first six months of 2026, and PHEVs got a further 2.3%. At the same time, EVs registered 15.9% of the market, Automotive News reports. When you look at the same time last year, the numbers were far closer, with EVs getting 19.5% of the market compared to the 19.2% hybrids got.

You'll have to go back quite a ways to find the last time EVs were actually outsold by hybrids in California — all the way back to the first half of 2021, in fact. Then, hybrids accounted for a 10% share of the market, compared to a 7.8% share for EVs. Since that point, it has been smooth sailing for EVs... until now.

As you may have expected, the death of the $7,500 federal EV tax credit has a lot to do with it. Add in the fact that the Trump administration, as we've reported, weakened fuel economy standards, and you've got a real recipe for EV take-rate contraction.

There is a possibility that California's EV business could see a recovery, though. In the second quarter of 2026, California's EV share rose to 17.8%, a gain of 4% over the first quarter. It could get an overall boost from a new state program that offers $3,500 rebates to first-time new EV buyers, which is being funded by both the state and participating automakers. Combine that with ever-increasing gas prices, and there could be a turnaround on the horizon.