Used EVs keep getting more expensive amid Iran war, high gas prices
Tesla EVs are charged at the Tesla Supercharger station in South Pasadena, California, on July 2, 2026.
Mario Tama | Getty Images
DETROIT – The Iran war and high gasoline prices in the U.S. are causing increased demand for used all-electric vehicles, making second-hand vehicles more expensive, according to Cox Automotive.
The company reported on Wednesday: Manheim Second-Hand Vehicle Value Index for Electric Vehicles — which tracks prices of used vehicles sold at U.S. wholesale auctions — rose 12% last month compared with June 2025. This compares with a 1.7% increase for non-electrics over the same period.
Wholesale electric vehicle prices have increased every month this year, leading to an 11.5% increase in average prices to about $30,400, according to Manheim. Non-electric vehicles saw a less than 1% increase in their average price this year to $19,125, Manheim said.
According to Cox’s Kelley Blue Book, the average used EV list price as of May was $37,083. Retail prices for consumers traditionally follow changes in wholesale prices.
“EVs continue to perform strongly, while SUV and Pickup prices are falling compared to this time last year,” Manheim said in a statement.
Cox reports second hand electric vehicle sales In May, the number of sales to consumers reached 42,923 units, with an increase of 5.5% monthly and 24.7% annually; The second-hand electric vehicle market share is at 2.8%. Tesla’s While it is estimated that the models lead with sales of 15,353 units, this is followed by the sales of fully electric vehicles from Hyundai, Chevrolet, Ford and BMW.
Jonathan Gregory, senior director at Cox Automotive, said gas prices are expected to continue determining whether vehicle costs will rise due to the expected influx of off-lease EVs later this year.
After automakers boosted sales of all-electric vehicles with lease offers three years ago, an increasing number of second-hand electric vehicles are expected to hit the market by the end of the year.
“The risk we are observing in the second half is the steep rise in off-lease supply, particularly EVs, which could put pressure on certain segments even if the headline remains flat. Gas is the swing factor: If pump prices continue to fall, some of the EV demand may decline as availability increases,” Gregory said.
AAA reported that national average gas prices are up roughly 21% from a year ago, with the national average reaching $3.80 per gallon. These prices have fallen from recent highs, but escalating conflict in Iran caused oil prices to rise on Wednesday.
Increasing demand and the rise in second-hand electric vehicle prices are at odds with the prices of new fully electric vehicles. Many automakers reported seeing sharp declines in sales of new EVs in the second quarter.
It’s hard to make year-to-year comparisons, other than automakers pulling back billions of dollars for new EVs. Demand for electric vehicles began to rise rapidly in the second quarter of last year, ahead of expectations that the Trump administration would offer consumers incentives of up to $7,500 to purchase electric vehicles.
The incentives ended in September, and EV sales rose to about 10% of all vehicles sold that month, before declining later in the year.
