Do you recall when there was talk of the gasoline engine being on its last legs?
Automakers were making bold predictions about going electric, governments were setting ambitious targets, and consumers were often told that the future of vehicles was already upon us. The only real question appeared to be just how quickly we would transition to this electric era.
Gasoline vehicles weren’t just going to lose their market presence; in some cases, they were actually supposed to vanish entirely.
Cadillac was particularly forward-thinking. The brand announced its intention to become fully electric by the end of this decade. Surprisingly, its own website still states that every new Cadillac model in the U.S. will be electric by the decade’s end.
But here’s the twist: people continued to choose gasoline-powered vehicles.
In fact, Cadillac is now gearing up to launch an entirely new generation of them.
Getting into gear
GM CEO Mary Barra confirmed this summer that Cadillac’s next generation of conventional cars will start rolling out in 2027. This lineup will likely include a new CT5 sedan alongside updated XT5 and XT6 crossovers. The XT6 is particularly noteworthy since Cadillac had previously discontinued it after the 2025 model year, but here it is, returning with a gasoline engine.
The XT5 also received a second chance. Originally set to be phased out, Cadillac has instead decided to extend production of the existing model and introduce a new generation for the U.S. market. They said they were making “necessary adjustments” to their offerings in order to align with consumer preferences.
There’s that key term again: demand.
While manufacturers have been reshaping their product strategies, American sales of electric vehicles have been sending a different signal altogether.
Financial realities
Take a look at August. Even with a record surge in hybrid sales, Kia managed to sell only 712 EV6s, marking a 60% drop from August 2025. Hyundai managed to sell merely 28 Ioniq 6 sedans — yes, just 28 — a staggering 97% decline. Its more popular Ioniq 5 also saw a significant dip of 51%.
Ford’s figures were even more alarming. Sales of the Mustang Mach-E plummeted by 72.5%, down to 1,989 units. The F-150 Lightning? Just 148 sold, translating to a stunning 95% drop from a year ago.
Honda sold only 1,788 Prologues, which is about an 81% decrease compared to August 2025. Honda has already indicated that Prologue production will be halted after 2026.
Subaru’s Solterra experienced an almost 87% drop, though it’s important to note that Subaru’s new Trailseeker and Uncharted EVs helped to buoy the company’s overall EV sales, and limited Solterra availability might have played a role in its decline.
And that’s why it’s crucial not to assess the EV market based solely on a single model or even one month’s performance. Some vehicles are being discontinued, while others are being introduced. Additionally, August 2025 was a unique benchmark due to buyers rushing to seize the federal EV tax credit before it was eliminated.
Trends and reversals
However, when we broaden our view, the overall trend is noteworthy. The National Automobile Dealers Association reports that battery-electric vehicles made up 10.1% of new vehicle sales in August 2025. By the next year, this percentage had fallen to 6.2%. Interestingly enough, new-vehicle sales overall didn’t crash; August saw a 1.5% rise compared to the previous year, adjusting for seasonal changes.
This indicates that Americans didn’t suddenly lose interest in cars; they simply showed less enthusiasm towards EVs.
This doesn’t imply the defeat of electric vehicles. Quite the opposite. Cadillac is currently offering five electric models, and manufacturers are still investing heavily in EV development. Some specific EVs are doing well, and Subaru’s figures from August illustrate why it’s essential to be cautious when declaring an entire technology a failure based on the drop in one model’s sales.
Yet this is a significant shift from what consumers were led to believe just a few years ago.
The industry’s shift towards electric vehicles was often framed as something unavoidable and, crucially, imminent. Gasoline vehicles were expected to not just lose market share but essentially vanish from showrooms.
Cadillac serves as an especially telling example. The company didn’t just intend to increase its EV sales. It aimed for a complete transition to electric by the decade’s end. Now, however, they’re developing a new line of gasoline-powered models that will debut just a few years before that deadline.
Why the change? Because manufacturers need to keep selling cars.
Consumers aren’t interested in corporate transition narratives; they want vehicles that suit their lifestyles, budgets, and driving needs. Some people are ready for an electric car, some prefer hybrids, and many still favor traditional gasoline vehicles. Finally, car makers are beginning to acknowledge this reality.
My stance on electric vehicles isn’t negative. I think they should be well-designed, affordable, and supported by a robust charging network. If there’s enough range and variety, let consumers decide what works best for them.
What bothers me, though, is the notion that the outcome should be predetermined, expecting consumers to simply fall in line afterward. The automotive industry has spent years dictating the market direction, but now the market is responding in kind. Judging by the new gasoline-powered Cadillacs set for release, it seems someone in Detroit is finally tuning in.
