The report arrives ahead of CES 2026, where EY leaders will speak on the Electric Vehicle to Grid Ecosystem and the innovations needed to build confidence in electrification.
Consumers shift gears back to ICE as EV buzz fades
The 2025 MCI shows a clear change in consumer intentions:
- 50% of global car buyers intend to purchase an ICE vehicle in the next 24 months, an increase of 13 points from 2024
- BEV preference has fallen to 14%, a drop of 10 percentage points, and hybrid preference has declined to 16%, down five percentage points
- 51% of prospective EV buyers say their plans remain unchanged, but 36% are reconsidering or delaying purchases due to geopolitical developments
Regionally, the percentage of consumers who say they want to buy an ICE vehicle rose by 12 points in the Americas, 11 points in Europe and 10 points in APAC, while BEV intent fell across all major markets. Policy shifts, including the removal of US EV tax credits and evolving emissions targets, are shaping these trends. At the same time, major automakers are renewing focus on ICE and hybrid portfolios and moderating EV programs in response to changing consumer demand.
Range anxiety and charging concerns continue to erode consumer confidence
Range anxiety continues to be one of the top barriers for consumers choosing ICE over EVs:
- 29% cite range anxiety as a top concern
- 28% highlight the lack of charging infrastructure
- 28% point to high battery replacement costs
Existing BEV owners remain concerned about range (32%), while first-time buyers focus on battery replacement costs (37%). Charging frustrations persist, with consumers most concerned about locating chargers (39%), long wait times (37%) and high charging costs (32%).
One in three (33%) potential BEV buyers say they would participate in vehicle-to-grid services by feeding electricity back to the grid when needed, underscoring interest in solutions that enhance EV economics and reliability.
Connected and autonomous features gain importance as consumers seek practical value
Consumers are increasingly considering connected technologies in their vehicle choices, but their priorities remain clearly defined. Safety, security, navigation and maintenance-related services top willingness-to-use and willingness-to-pay lists, ahead of comfort, entertainment and higher levels of autonomy. Nearly four in ten (39%) respondents identify the high cost of connected services as a key barrier, and six in ten (60%) say they are comfortable with lower levels of automation in their personal vehicles.
Comfort with advanced autonomous capabilities remains limited. Only (26%) of consumers feel comfortable with Level 3 or above, while accident risk (60%), technology failure (51%) and loss of control (50%) remain the top concerns.
Dealerships remain the dominant final step in the car-buying journey
Despite rising digital activity, dealerships continue to play a decisive role in vehicle purchases. Four in ten buyers (41%) prefer to complete their purchase in person, down from 61% in 2024 but still the leading channel. ICE buyers (32%) remain slightly more inclined toward online channels than EV buyers (28%). EV buyers in particular continue to favor in-person engagement due to the need for guidance on charging, battery life and new technology features.