At World Economic Forum, Governor Newsom announces California shattered clean car goal, surpassing 2.5M ZEV sales despite Trump’s chaos
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Jan 20, 2026

At World Economic Forum, Governor Newsom announces California shattered clean car goal, surpassing 2.5M ZEV sales despite Trump's chaos

What you need to know: At the World Economic Forum, Governor Newsom is showcasing California as proof that stable climate policy drives economic results. The Golden State shattered its clean cars goal. During the fourth quarter of 2025, Californians purchased 79,066 new zero-emission vehicles (ZEVs), representing 18.9% of new car sales. During this timeframe, California surpassed 2.5 million new ZEV sales, a huge milestone for the state — showing that policy certainty creates resilient markets global investors can trust.

DAVOS, SWITZERLAND – During his visit to the World Economic Forum, Governor Gavin Newsom is making the case for California as a stable market amid federal chaos—announcing that the Golden State surpassed 2.5 million cumulative new zero-emission vehicle (ZEV) sales, and far exceeding the state's original goal of 1.5 million ZEVs on the road by 2025.

This achievement reflects decades of consistent state leadership that provided market certainty and created a resilient foundation that continues to drive ZEV sales and the world 4th-largest economy despite the Trump administration's efforts to derail our clean transportation future.

California didn't reach 2.5 million zero-emission vehicles by accident—we invested in this future when others said it was impossible. While Washington now cedes the global clean vehicle market to China, California is ensuring American workers and manufacturers can compete and win in the industries that will define this century.

Governor Gavin Newsom

Since the end of 2019, cumulative new ZEV sales in California alone have grown over 300%, driven by effective clean transportation policy and various ZEV incentives. The milestone cements the Golden State's position as the undisputed national leader in clean transportation and proves that consumer demand for EVs remains strong despite federal headwinds.

"No state in the union can match California's five-year growth in ZEV sales," said California Energy Commissioner Nancy Skinner. "This serves as a reminder of how far we've come thanks to historic levels of state investment and Californians' strong demand for clean cars. Each quarter, even in the face of increasing federal headwinds, tens of thousands of consumers are purchasing a ZEV in the Golden State, enjoying a great driving experience, and knowing they never have to go to a gas station again."

This remarkable growth has also driven the state's commitment to building a robust ZEV infrastructure network.

"While the federal government reversed and put up roadblocks, the global zero-emission vehicle market surged ahead last year," said California Air Resources Board Chair Lauren Sanchez. "Governor Newsom's new rebate proposal sends a clear message: California isn't slowing down, we're still leading the pack. It's not just about clean air, it's smart economic policy."

ZEV market demonstrates resilience despite federal policy reversal

During the fourth quarter of 2025, Californians purchased 79,066 new ZEVs, representing 18.9% of new car sales—even after federal tax credits expired on September 30. Ahead of that expiration, sales surged in the third quarter of 2025—accounting for 29.1% of new car sales—likely softening sales in the fourth quarter as a result. While the loss of federal support triggered a nationwide decline in EV sales nationwide—from 10.5% in Q3 to 5.8% in Q4, according to Cox Automotive—California's market proved far more resilient.

This resilience reflects a market turning point. After decades of strategic state investment in charging infrastructure, consumer incentives, and manufacturer standards, California has built a strong, mature, resilient ZEV ecosystem grounded in policy certainty and sustained investment. Consumers are buying electric vehicles in part because the technology works, the vehicles perform, and the charging infrastructure continues to grow rapidly.

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Despite the setbacks from the federal government, sales were still strong in Q4. With 149 ZEV models available in California in Q4 of 2025, consumers are buoyed by the diversity in the ZEV market. Not only do ZEVs produce zero tailpipe pollution, but they are also fun and powerful to drive, and cost less to operate and maintain compared to gas-powered vehicles. Find the right vehicle for you at ElectricForAll.org.

California doubles down on clean transportation investments

California is doubling down on its clean transportation leadership. In his January 9 budget, Governor Newsom proposed a new $200 million incentive program to accelerate ZEV adoption and respond to the loss of the federal ZEV tax credit, while supporting American automotive innovation at a critical moment—just as the Trump administration has abandoned the good-paying jobs of this global market. Less than a year in office, Donald Trump has driven away the United States' second-largest trading partner, pushing Canada toward deeper economic ties with China while surrendering America's leadership in electric vehicle manufacturing.

Competing to win the future requires investing in clean energy technologies, strengthening partnerships with allies like Canada, and reducing dependence on China in critical sectors.

Instead, the Trump administration repealed key parts of the Inflation Reduction Act and Bipartisan Infrastructure Law, and imposed broad tariffs that have raised costs for American consumers while straining relationships with close allies. Despite Donald Trump's efforts to cede the clean energy economy to China, California is ensuring American workers and manufacturers can compete and win in the industries that will define this century.

The Golden State's commitment extends beyond consumer incentives. In the latest Clean Transportation Program Investment Plan Update, the CEC allocated $98.5 million in light-duty zero-emission vehicle (ZEV) infrastructure funding for fiscal year 2025-2026 to focus on Level 1 and Level 2 charging in locations with longer vehicle dwell times, including at-home charging with a specific focus on multifamily residences.

The CEC is also continuing to study infrastructure needs across the state, with the following planned for release later this year:
The gold standard for American EV infrastructure

California is tearing down barriers to ZEV deployment, speeding up EV charging station installations, and deploying infrastructure in hard-to-reach and low-income areas.

Becoming an EV driver in California is increasingly getting easier. There are now over 200,000 public and shared EV charging stations statewide. EV chargers can be found at grocery stores, park-and-ride lots, and even gas stations, whereas shared EV chargers can be found at apartment complexes, workplaces, doctors' offices, sports facilities, and other parking areas with some level of restricted access. This statewide network of public and shared private chargers is in addition to the estimated 800,000 EV chargers installed in California homes.

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California's climate leadership in action

Pollution is down and the economy is up. Greenhouse gas emissions in California are down 21% since 2000 — even as the state's GDP increased 81% in that same time period, all while becoming the world's fourth largest economy.

California also continues to set clean energy records. In 2023, the state was powered by two-thirds clean energy, the largest economy in the world to achieve this level. California has also run on 100% clean electricity for part of the day almost every day last year.

Since the beginning of the Newsom Administration, battery storage has surged to nearly 17,000 megawatts — a 2,100%+ increase, and over 30,000 megawatts of new resources have been added to the electric grid. California now has 33 percent of the storage capacity estimated to be needed by 2045 to reach 100 percent clean electricity.

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