I've expected sales to soften/plummet as incentives expire. Imagine how well the Honda Accord would sell if you could get $7,500-$10,000 back from the purchase? Conversely, imagine how poorly it would sell if it had an additional $10k added to the current sticker price.
As long as fossil fuels are relatively cheap, or as long as batteries are as relatively terrible, EV and PHEVs won't sell in strong numbers.
I also heard someone speak of there being an auto loan bubble, and they anticipate that to burst resulting in a sharp decline in new car sales, increase in repossession, and a drop in used car values, with that also coinciding with a declining economy.
That said, it still disappoints me to hear the news. I'd much prefer to see evidence that we're nearing the "tipping point" where EVs take off and ICE falls off.