While California held nearly 30% of the U.S. zero-emission vehicle registrations in the first quarter, that represented a 34% decline in its ZEV market share year-over-year.

The California New Car Dealers Association used data from Experian Automotive to compile its quarterly report on new-vehicle registration trends. It found that EV momentum has slowed in the country’s EV adoption leader.

At nearly 14%, the group said the quarter had the lowest ZEV market share recorded since the fourth quarter of 2021.

Meanwhile, hybrid momentum built, accounting for 21% of the market compared to 18% a year earlier. And gas-powered vehicles controlled the market at 61% versus 54% in last year's first quarter.

The cooldown in EV interest reflects the broader U.S. EV market, according to the association, following the loss of the federal EV tax credit and ongoing affordability issues.

California’s overall new-vehicle market started the year down 9% year-over-year. The group predicts that for the full year registrations will drop from 1.8 million last year to 1.7 million due to high prices and economic uncertainty.

The top-selling passenger car in the state in the quarter was the Toyota Camry with nearly 53% of the combination midsize and large car segment. And Toyota was the top-selling brand with 19% of market share.

While Tesla registrations declined 24% year-over-year in the overall market, its share of the ZEV segment rose almost 27%.