Used Hybrid and EV Prices Show Early Signs of Demand Reset Heading Into 2026
December 2025's used car pricing data reveals a notable divergence: hybrids and EVs are underperforming broader market trends. Prices for these vehicles fell more sharply than conventional models, suggesting a structural shift rather than seasonal softening.
The expiration of clean-vehicle tax incentives in late 2025 accelerated the cooling effect. Dealers now face compressed margins as inventory accumulates—a stark contrast to the incentive-driven demand surge of previous quarters.
This pricing reset coincides with broader macroeconomic pressures. Rising interest rates and shifting consumer preferences toward affordable transportation options are reshaping the secondary market. The trend may create downstream effects in adjacent sectors, including automotive-finance crypto projects and tokenized asset platforms.