Tesla's Model 3 ranked first again this year in an assessment of U.S.-made vehicles, keeping the top spot for a sixth straight year. The U.S. electric vehicle market has cooled sharply after a federal tax credit ended, and the growth of Tesla's home market also appears to have slowed.

Cryptopolitan reported on June 23 that vehicle information company Cars.com ranked the Tesla Model 3 No. 1 in its American-Made Index this year.

Tesla's Model Y also placed second for a second straight year, giving Tesla the top 2 spots. Stellantis' Jeep Gladiator and Grand Cherokee ranked third and fourth, respectively. Honda placed five models in the top 10: Ridgeline, Odyssey, Accord, Passport and Acura MDX.

A total of 86 models were included in this year's American-Made Index, down from 99 last year. The share of electrified vehicles fell to 24 percent from 30 percent, and the number of fully electric vehicles declined to 5 from 11, reflecting a slowdown in the U.S. EV market.

The U.S. EV market's growth has slowed sharply this year. First-quarter U.S. EV sales totalled about 216,400 vehicles, down 27 percent from a year earlier. EVs accounted for 5.8 percent of total new-car sales. That was sharply lower than 10.6 percent recorded in the third quarter of 2025.

A direct factor behind the market slowdown was the end of a $7,500 federal EV tax credit in the third quarter. As the tax benefit disappeared, consumer demand contracted rapidly, and some brands saw EV sales fall by more than 60 to 70 percent.

Tesla's U.S. sales also fell by more than 8 percent from a year earlier. But its market share was defended as rivals' sales declines were larger. The Model 3 and Model Y currently account for about 51 percent of total U.S. EV sales. The overall market has shrunk, but sales have become concentrated in specific models.

Foreign automakers also stood out in the U.S.-made vehicle rankings. About two-thirds of the ranked vehicles were models produced by overseas carmakers. Toyota placed 14 models on the list and Honda 13, more than the U.S. Big Three automakers.

Tariff policy is also affecting consumer purchase decisions. In a Cars.com survey conducted in May, nearly half of respondents said they were concerned about tariffs. Another 42 percent said tariffs made them more likely to buy U.S.-made vehicles. Two-thirds said they would consider buying U.S.-made vehicles if tariffs improved price competitiveness, and 57 percent said they were willing to pay more if a vehicle contributed to job creation in the United States. Still, 45 percent cited price as the most important purchase criterion.

Overseas market sentiment differed from the United States. In the European Union, Tesla sales in May were tallied at 21,767 vehicles, and its market share expanded to 2.3 percent from 0.9 percent a year earlier. Chinese EV maker BYD also raised its share from 1.1 percent to 2.7 percent. Over the same period, new passenger car registrations in the EU rose 3.2 percent year on year to 955,013, and the share of battery electric vehicles grew to 20 percent from 15.3 percent.

Canada is moving aggressively to attract Chinese EV makers. Canada’s Industry Minister Melanie Joly (멜라니 졸리) said recently that BYD, Chery and Geely Automobile could consider producing EVs in Canada in the form of joint ventures.

Canada set conditions including a domestic equity advantage, use of local labour, use of Canadian-made parts and the adoption of safe software. The move also dovetails with a policy shift in which the Canadian government decided earlier this year to lower additional tariffs on Chinese-made EVs to about 6 percent from the existing level of 100 percent.

The industry is analysing that while the United States faces reduced tax benefits and weaker demand, Europe and Canada are expanding sales and seeking to attract production bases, gradually shifting the centre of gravity in the global EV market.