Australia’s automotive market concluded 2025 with a record-breaking total of 1,233,456 new vehicle deliveries—a modest 0.3% increase year-on-year. Despite this overall growth being relatively flat, December saw a strong finish with 101,513 units sold, up 1.9% from the previous year. The data, compiled from figures released by the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council (EVC), reveals shifting trends in buyer behavior and brand performance.
Business Demand Drives Growth
The primary driver of December’s gains was a substantial 10.6% surge in business sales, which partially offset declines in rental and government fleet purchases. Private sales also increased, though at a more moderate pace of 1.6%. Notably, the statistics exclude sales figures from Tesla and Polestar, meaning the full market picture is not entirely represented. This is crucial because the EV sector’s performance is increasingly relevant to overall automotive trends.
Brand Performance: Toyota Remains on Top, BYD Gains Ground
Toyota maintained its position as the market leader, though it experienced a slight 0.6% decline in sales. Ford and Mazda saw gains of 2.8% and 4.2%, respectively, but still finished the year down overall. The most significant growth story was BYD, which surged by 238.3% in December alone thanks to strong demand for its Sealion 7 electric SUV. This performance propelled BYD to the eighth-highest selling brand for the entire year. Other notable performers included Kia, GWM, Mitsubishi, Chery, and Isuzu Ute.
Tesla experienced a 28.1% year-on-year drop in sales, but still outsold MG, which suffered a steeper 41.9% decline. The market’s competitiveness is clearly intensifying as new brands enter and established players adjust to changing consumer preferences.
Model Highlights: Ranger Leads, BYD Disrupts
The Toyota RAV4 was December’s top seller with 6,038 deliveries, but the Ford Ranger dominated the full-year sales charts. The Toyota HiLux followed closely behind, with BYD’s Sealion 7 making a remarkable debut in third place. The Sealion 7’s success highlights the growing consumer interest in affordable electric SUVs.
BYD’s Shark 6 ute nearly outsold the Mitsubishi Triton, with 18,073 sales versus 18,900, signaling strong competition in the ute segment. The GWM Haval Jolion led the small SUV category, while the Toyota Prado lost ground to the Ford Everest. Passenger car sales remained subdued, with the Toyota Corolla as the only model in the top 20.
Segment Breakdown: SUVs Continue to Dominate
SUVs remain the most popular vehicle type in Australia, with medium SUVs accounting for the largest market share. The Toyota RAV4, BYD Sealion 7, and Mazda CX-5 topped their respective sub-segments. Light commercial vehicles (utes and vans) also performed well, led by the Ford Ranger and Toyota HiAce.
The market breakdown by segment confirms the ongoing shift towards SUVs and electric vehicles, while traditional passenger cars continue to lose ground.
Key Takeaways: EV Growth, Brand Competition
The 2025 Australian automotive market saw a record number of sales, driven by business demand and the rising popularity of SUVs and EVs. While Toyota remains dominant, BYD’s emergence as a major player underscores the intensifying competition. The market’s trajectory suggests continued growth in electric vehicle adoption, particularly as more affordable options become available. The year’s results signal a dynamic automotive landscape where brands must adapt to shifting consumer preferences to maintain market share.
