CNBC's Phil LeBeau joins 'Squawk on the Street' with the latest news on electric vehicle sales in the U.S.

Electric vehicles (EVs) made up 10.5% of all vehicle sales in the United States during the most recent quarter, according to data compiled by Motor Intelligence. Tesla led the EV market with a 43% share year-to-date, driven largely by strong sales of the Model Y, which accounted for one in four EVs sold. General Motors secured the second spot with a 13.5% share and saw its EV sales more than double compared to the previous year. Toyota continued to dominate the hybrid market, holding over 51% of hybrid sales as it expanded its lineup. 

Industry analysts note that the correlation between gas prices and EV or hybrid demand has lessened in recent years, with consumer interest in electrified vehicles appearing more secular than reactive to fuel costs. Automakers are adjusting production strategies to balance profitability, with some returning to internal combustion engine models where demand remains strong.

EV market share in the U.S. hits 10.5%

Tesla shares coming off their worst day since July following new delivery numbers actually down another 2% this morning But some bullish signs when it comes to overall adoption this morning Phil Lebeau is here with those numbers. Hi, Phil Mike we've asked motor in motor intelligence to crunch all the numbers from all of the automakers and specifically those with electric and hybrid sales And this is the latest snapshot in terms of just how many EVs were sold in the third quarter came out to 10.5% of all vehicles and who led the way no surprise here It was Tesla, but the market share might be a bit of a surprise for some people came in at 41% Just over 41% GM was in second place at 13.5% the fact that Tesla was over 41% the reason this is significant is because excuse me 43% that's year to date That's not just q3, but that's year to date The reason it's significant is that you heard people saying well they might drop down to 35 or 30 percent market share The model Y has just been a killer for these guys think about this in the US Tesla's EV sales were up 25% in q3 vs Q2 and one out of every four electric vehicles all Electric vehicles sold was a model Y not a surprise given the fact that the base price starts at just over $46,000 you bring down the price point you're gonna get more people And especially if you have a crossover utility vehicle take a look at shares of Tesla, and yes It's down yesterday and down today at least right now It's down for the day But this has been a heck of a run for this stock all of this sets up what Elon Musk has to say on? October 22nd that's when the company reports its q3 financials also take a look at shares of General Motors It's q3 EV sales were up 107% Compared to q3 of last year And it is solidly now in second place in terms of EV market share in the United States and finally Got to show you Toyota remember when Toyota was slow getting into the EV game And everyone said spending a lot of time on hybrids. That's such a good idea. It's worked out well for them 51.2% of the hybrid market is owned by Toyota. It's been over 50% for some time guys as they have Expanded the number of models that have hybrids and also some models now you can't get an internal combustion engine a Typical original version you have to get a hybrid whether it's a hybrid gas electric hybrid or a plug-in or some also come as EVs That's that's where Toyota's mindset is and it's worked well for them so Given what these numbers suggest about the trajectory Do you feel like the automakers have the production capacity to fulfill these trends which appear to be somewhat of a About face from what we were talking about a year or two ago. Sure Well, they have the capacity and what you're going to see Leslie is what we're already seeing is some models that were built at certain Plants, but there are low-volume models. They're going away. Look Nissan's bringing back the Xterra at its plant in Mississippi Why and that's an internal combustion engine vehicle why Because that's where the market is and that's where they're going to have the most success and right now this is about Driving profitability and preserving your capital as much as possible Can you do that with an electric vehicle and some cases you might be able to odds are though? You're gonna do that with an internal combustion engine vehicle. And that's why we're seeing the pivot that we're seeing with automakers Hey Phil, I mean have we completely Kind of separated the demand for hybrids and EVs from gas prices in the moment It feels as if you know that hasn't really been a huge challenge in general for a while. It seems as if it's more secular. I Think it is more secular Mike And I think that that trade really hasn't or that theory really hasn't borne out over the last three four five years I rarely hear people talking about gas prices driving them either to look at an EV or Stay with an internal combustion engine vehicle because gasoline is cheap. It's when it spikes That's really when you notice people saying I'm not crazy And we haven't had a huge spike in gas prices in quite some time And that's why I think there's been a bit of a disconnect there between that correlation That was that was there early on in terms of EV sales. Hmm. Good point Phil. Thank you

Sarah Mullally has been named as the first female Archbishop of Canterbury in the 1,400-year history of the role, but her appointment immediately drew criticism from conservative Anglicans mainly based in Africa who oppose women bishops.

Canterbury

Church of England names first female archbishop

Israeli forces have intercepted the last vessel of an aid flotilla headed for Gaza. The convoy was in international waters, prompting accusations that Israel violated maritime law. Protests have been staged in cities around the world.

Middle East Conflict

Israel's interception of Gaza aid flotilla prompts protests

U.S. President Donald Trump said that he is issuing a Sunday evening deadline for Hamas to agree to a U.S. peace proposal, backed by the Israeli government, to end the war in Gaza.

Washington

Trump issues deadline for Hamas to reach ceasefire deal

Prince William opened up on comedian Eugene Levy's Apple travel show, "The Reluctant Traveler," about his wife Kate, his mother, Princess Diana, and changes to the monarchy when he becomes king.

London

Prince William opens up about family, future plans for monarchy

The White House says the first round of mass layoffs resulting from the government shutdown could be announced on Friday. CBS News' Nancy Cordes reports.

Government shutdown mass layoffs could begin today, White House says

One of the two people who died during the Manchester synagogue attack on Thursday was possibly struck by police gunfire, authorities say. CBS News' Imtiaz Tyab reports.

Manchester

One victim likely killed by police during Manchester synagogue attack

Russian President Vladimir Putin spoke at the Valdai Discussion Club in Sochi, Russia on Thursday (October 2). He fired back at U.S. President Donald Trump's remark calling Russia a "paper tiger", suggesting NATO might be one instead. Putin also warned that if the United States supplied Tomahawk missiles to Ukraine it would trigger a dangerous new escalation.

Sochi

Putin warns U.S. Tomahawk supply to Ukraine would trigger escalation

Ukraine and Russia have carried out another exchange of prisoners of war. About two hundred Ukrainian prisoners released by Russia have arrived in the Chernihiv region near Ukraine’s border with Belarus.

Chernihiv

Ukraine Invasion

Russia, Ukraine exchange 185 prisoners of war in latest swap

Two Jewish men were killed and three other men were seriously injured in a terror attack outside a synagogue in the northern English city of Manchester, authorities said.

Two killed in U.K. terror attack outside synagogue on Yom Kippur

President Trump has declared the U.S. is in an "armed conflict" with drug cartels as the White House calls drug runners "unlawful combatants."

Trump declares U.S. in 'armed conflict' with drug cartels

The head of the Dwight D. Eisenhower Presidential Presidential Library has resigned after sources say he resisted a request from the Trump administration to give a sword from the library's collection to King Charles.

Abilene

Eisenhower library head resigns

Two regional jets crashed into each other on the tarmac at New York's LaGuardia Airport when the wing of one aircraft hit the front end of another. One flight attendant was injured.

LaGuardia Airport

Two regional jets collide on tarmac at New York's LaGuardia Airport

Blame was thrown around by all sides on the first day of the shutdown after the White House and Congress failed to agree on a way to keep the U.S. government funded and open. The White House said layoffs to the federal workforce were ‘imminent.’

White House says federal worker layoffs ‘imminent’ after shutdown

Jane Goodall, the British conservationist and researcher renowned for her work with chimpanzees, has died at age 91. The Jane Goodall Institute confirmed her death on Instagram Wednesday, saying she died of natural causes.

Los Angeles

Jane Goodall, chimpanzee researcher and conservationist, dies at 91

U.S. President Donald Trump has signed an executive order, promising military action if necessary, to defend Qatar in the face of any future attack. It follows an Israeli strike on Doha last month, targeting a Hamas negotiating team. Qatar called the attack a violation of its sovereignty, prompting Trump to issue the new security assurances to the Gulf nation.

Doha

Trump signs executive order protecting Qatar after Israeli strike

The Israeli military is pressing on with its offensive in Gaza, launching strikes across the territory, as Hamas weighs up its response to the U.S. peace proposal. Debora Patta reports.

Jerusalem

Israel continues Gaza offensive as Hamas weighs U.S. peace deal

The Supreme Court has added another blockbuster case to its new term of cases. The court announced it would hear whether President Trump can legally fire Federal Reserve Governor Lisa Cook. Jessica Levinson has more.

Supreme Court to weigh Trump firing of Fed's Lisa Cook

Flash floods in Ukraine's Odesa killed at least nine people, including a family of five trapped in their home as it was engulfed by water, emergency services said on Wednesday (October 1), as torrential rain left hundreds in need of rescue and thousands without power.

Odesa Oblast

Deadly flash floods hit Odesa after downpours in Ukraine's south

Parts of the U.S. government remain closed after Senate votes failed to pass funding. A GOP-backed House bill fell short of the 60-vote threshold, leaving 750,000 federal workers facing furloughs and possible military pay delays.

Government shutdown continues after Senate votes down resolutions

In Afghanistan, concerns are growing after days of virtually no internet connectivity. The blackout has disrupted banking, commerce and aviation. The Taliban denies banning internet services.

Kabul

Afghanistan imposes internet blackout

U.S. President Donald Trump said on Tuesday that Hamas militants have about three or four days to respond to his Gaza peace plan proposal or face the consequences. But Gazans saw little hope in the plan, which was presented to Hamas after Israel had endorsed it as satisfying its war aims.

Hamas under pressure as Trump issues deadline on Gaza peace plan

U.S. President Donald Trump threatened to use 'dangerous' U.S. cities as training grounds for the military at a rare meeting of top military officials where he and U.S. Defense Secretary Pete Hegseth took aim at what they called 'woke' military standards.

Trump threatens to train military in U.S. cities

At least 69 people were killed after a 6.9-magnitude earthquake shook the coastal city of Bogo and outlying rural towns in Cebu province in the Philippines, officials said. CBS News foreign correspondent Anna Coren has the latest details.

Cebu

Dozens killed after 6.9-magnitude earthquake shakes Philippines

U.S. President Donald Trump and lawmakers failed to reach a funding deal, causing the government to shut down Wednesday. Tens of thousands of federal workers will be told to stay home – furloughed without pay.

U.S. government shuts down after lawmakers fail to reach funding deal

U.S. President Donald Trump is amping up pressure on Hamas to respond to his 20-point peace plan to end the war in Gaza. He says he wants a response in a matter of days or there will be a ‘very sad end’ to the conflict.

Trump puts pressure on Hamas with deadline on Gaza peace plan

U.S. Defence Secretary Pete Hegseth said there would be no more ‘overbearing rules of engagement’ for the U.S. military while President Donald Trump threatened war on ‘the enemy from within’ at a gathering of top U.S. military commanders.

Hegseth calls for end to ‘politically correct’ U.S. military leadership

European leaders, from Ursula von der Leyen to Emmanuel Macron, have reacted positively to U.S. President Donald Trump's plan to end the war in Gaza.

EU leaders urge Hamas to accept Trump's Gaza plan 'without delay'

Military leaders have been summoned to Quantico Marine Corps base from all around the world by Defense Secretary Hegseth for a rare, in-person meeting. Democratic lawmakers have raised safety concerns about the military leaders leaving their posts for the well-publicized meeting.

Quantico

Hegseth gathers U.S. military leaders for rare, in-person meeting

Imelda is now a Category 1 hurricane, threatening dangerous weather conditions on the East Coast alongside Hurricane Humberto. CBS News' Rob Marciano has more details.

Folly Beach

Imelda becomes hurricane, threatens dangerous conditions on East Coast

Venezuelan President Nicolas Maduro said Monday he is ready to declare a state of emergency over the threat of U.S. "aggression," following a spate of deadly U.S. strikes on suspected Venezuelan drug boats.

Breakdown