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RAV4 takes the crown for 2024 as hybrid surge continues

Electric/petrol hybrids and plug-in hybrids remained the big story of 2024 new vehicle sales shaping Australia’s future car parc, the latest figures reveal.

The Federal Chamber of Automotive Industries December new sales figures show the upward trend for hybrids and the downward trend for straight EVs continued, wrapping up a slower end to the year.

Overall, in 2024 EV sales have dropped to 74,612 vehicles, a decline of 14.5 per cent compared to 2023, however these FCAI figures do not include some makes such as Tesla.

By contrast, hybrid sales continued to surge with overall sales now at 172,696 for the year, a jump of 72 per cent since 2023.

Consumer appetite for alternative power trains, but without the range issues of straight EVs, was also reflected in the plug-in hybrid market that has doubled in a year from a  low base to reach 23,163 new vehicles in 2024.

Biggest year yet

The Electric Vehicle Council has also released figures and is claiming sales are at an all time high incorporating battery electric vehicles and plug-in hybrid electric vehicles into its total of 114,000 sold in 2024, up from 98,000 in 2023.

Its breakdown of figures show approximately 91,000 BEVs and about 23,000 PHEVs, indicating the two categories now make up nearly one in ten new car sales (9.65 per cent).

FCAI figures also show petrol vehicle sales are down a similar amount, about 10 per cent since 2023, in a a sign the market is shifting with the advent of the NVES in 2025.

Most popular in 2024

In December Toyota’s RAV4, predominately hybrids, was Australia’s top selling vehicle with sales of 5,119 followed by the Ford Ranger on 4,493.

After several months leading the figures, this gave Toyota’s RAV4 the most popular position for the year with sales of 58,718 up 133 per cent on 2023 and eclipsing the Ford Ranger 4X4 with sales of 57,960, a drop of 42 percent on the previous year.

Toyota’s early adoption of hybrid technology continues to pay off with it now claiming more than half a million hybrids delivered in Australia with almost half of its sales from the new hybrid powertrains.

In 2024 it sold 118,081 Toyota hybrid vehicles  an increase of  63.8 per cent on 2023.Overall, the 95,895 new vehicles sold in December were 2.7 per cent lower than 2023 bringing the annual total to 1,220,607 new vehicles, a marginal increase of 0.3 per cent on 20241.

New incentives needed

FCAI Chief Executive Tony Weber wants money from the NVES scheme penalties to help boost the transition to new powertrains including better EV charging infrastructure.

“The Commonwealth Government should apply revenue raised through NVES penalties to recharging infrastructure.   I urge the Commonwealth Government to support its emissions reduction policies by considering ongoing consumer support such as a continuation of the FBT exemption for plug-in hybrid vehicles which is due to end on 1 April 2025.”

Weber says 2024 highlighted the gap between government policy and buyer behaviour.

“The industry is responding to NVES by increasing the range of zero and low emission vehicles on offer.  However, a continuation of current customer buying preferences will inevitably lead to the accrual of substantial penalties under the Government’s new scheme, which will create price inflation within the new vehicle market.

“Governments around the world have set regulations that are ahead of available zero emissions technologies and this is impacting both car makers and consumers, ,” he said.

“Manufacturers in the UK, Europe and the USA are under pressure because they have made huge investments to manufacture EVs, but customers are not buying them in the numbers needed to meet emission targets and to provide a return on investment.”

Weakening market

Weber said strong sales in the first half of 2024 set up the new record for the full-year but momentum in the market was lost as the year progressed.

“The second half of the year showed a concerning trend with sales in the Private segment falling to very low levels as interest rates and general cost of living pressures impacted Australian families,” Mr Weber said.

“Customers are also increasingly making choices regarding environmental outcomes and the associated total cost of ownership of moving to low emissions technologies.  So, while the sales of battery electric vehicles are lower than expected, this is offset to a degree by an increasing number of buyers turning to hybrid and plug-in hybrid models which make up 14.1 per cent and 1.9 per cent of the total market respectively.

Weber also notes the popular utes will be difficult or expensive to decarbonise .

“If consumers do not want, cannot afford or cannot find new low emission vehicles that meet their needs, then no amount of effort from governments and car makers will make a difference.”

Read the full FCAI report here

 

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