Chinese Brands Propel EV Sales in Australia to Surpass ICE Vehicles for First Time in a Month

In December 2025, sales of electrified vehicles in Australia—including hybrids, plug-in hybrids, and battery electric vehicles (BEVs)—reached 35,058 units, surpassing internal combustion engine (ICE) vehicle sales of 34,559 units for the first time, marking a pivotal turning point in the market. For the full year, electrified vehicles totaled 355,887 units sold, capturing a 28.6% market share, with BEVs accounting for 8.3%. This shift was primarily driven by the accelerated expansion of Chinese brands—such as BYD, Geely, SAIC’s MG, XPeng, and Zeekr—which have gained consumer favor through diverse product offerings and competitive pricing. In 2026, several affordable compact EVs, including NIO’s Firefly, Geely’s EX2, and BYD’s Atto 1, are set to launch, likely further boosting demand. Despite ICE vehicles retaining the largest annual market share at 38.3%, hybrid vehicles emerged as the main driver of electrification, with sales reaching 199,133 units, while plug-in hybrids also saw steady growth, securing a 4.3% market share.