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Two years ago, Volkswagen debuted a prototype of its ID.7, the sixth model in its lineup of electric vehicles, at the Consumer Electronics Show in Las Vegas. The automaker said it was planning to launch the EV in three primary markets: Europe, China, and North America. But now, after a series of delays, VW has canceled its plans to sell the ID.7 in North America.Due to the ongoing challenging EV climate, Volkswagen has decided to no longer offer the ID.7 to the North American market, a Volkswagen spokesperson said. Despite this, electric vehicles continue to be a core part of Volkswagens long-term product strategy, and new electric models will continue to be introduced for this market.EV sales in the U.S. have been growing. They jumped more than 15% in the last quarter of 2024, compared to the year prior, setting a new quarter sales record. Sales for the entire year reached 1.3 million in the U.S., a more than 7% increase compared to 2023, according to data from Cox Automotive.But the Trump administration has already made the EV climate more challenging. Moments after being sworn in this week, Sean Duffy, Donald Trumps new Transportation Secretary, signed a memorandum to roll back fuel economy standards with the aim of eliminat[ing] the electric vehicle mandate.This follows an executive order by Trump promising to do the same, though no such mandate to force Americans to purchase EVs actually exists. What Trump is actually targeting are the EV tax credits of up to $7,500 that are part of the Inflation Reduction Act and Bidens goal to have EVs make up 50% of new vehicle sales by 2030.[Photo: Volkswagen]Some automakers were already scaling back their EV plans. Ford announced in August 2024 that it was canceling some electric SUVs in favor of hybrid models as a way to improve profits, though said it was still planning to roll out new all-electric vehicles in the future. Volkswagens ID.7 was first planned for 2024, but last year the automaker announced an indefinite delay due to changing market dynamics. The ID.7 has already launched in both Europe and China.Despite solid sales for 2024, automakers are now on edge as the EV industry in the U.S. faces an uncertain future. Trumps anti-EV agenda and plans for tariffs pose a threat to EV sales. The legality of Trumps actions are yet to be seen, however. And even still, analysts do expect EV sales to grow in 2025. Cox Automotives 2025 outlook predicted that one out of every four vehicles sold in 2025 will be electrified. The market is gaining momentum, economic fundamentals are improving, and consumer sentiment is pointing in the right direction, Cox Automotive chief economist Jonathan Smoke said in a statement. We are ready for what 2025 might bring.