Australia's electric vehicle sales are on the rise again due to the recovery of the Model Y, reinforcement from Geely, BYD, and Kia.
Electric Vehicle Sales Soar in Australia
In May 2025, electric vehicle (EV) sales in Australia reached an impressive 10,065 units, accounting for a 9.2% share of the total market of 109,425 new car sales. This marks a significant increase from the 8.1% share recorded in the same month last year and a further rise from the 6.6% share in April.
The top-selling EV models during this period include the BYD Dolphin, Kia EV5, and Geely EX5, with 345, 703, and 511 sales, respectively. BYD also saw strong sales in plug-in hybrids, with the Shark 6 and Sealion 6 making up 1,715 of the PHEV sales in May.
The MG MG4, successor to the affordable ZS EV, saw a total of 106 sales during the month. Other notable entries in the top 15 best-selling EVs were the Polestar 4 and MG5, with 133 and 106 sales, respectively.
The surge in EV sales is attributed to several factors. These include federal government incentives, the introduction of the New Vehicle Efficiency Standard, competitive pricing, and growing acceptance of electric vehicles among Australian drivers. Chinese manufacturers like BYD and Geely have also increased their market presence alongside established players like Tesla, contributing significantly to the sales growth.
The Tesla Model Y saw a resurgence in May, contributing significantly to the increase in EV sales. However, the Tesla Model 3 fell to ninth place (provisionally, pending more data from individual car makers), and is sharply down from the same period a year ago. Interestingly, the BYD Seal outsold its main rival, the Tesla Model 3, with 355 sales during the month.
The latest data was separated between two suppliers: the FCAI (Federal Chamber of Automotive Industries) accounting for 5,925 EVs, and the EVC (Electric Vehicle Council) accounting for 4,140 EVs. It's worth noting that Australian EV sales rose sharply in May, with fully battery electric sales outpacing plug-in hybrid electric vehicle (PHEV) sales, with 10,065 battery electric vehicles sold compared to 3,081 PHEVs.
Riz Akhtar, founder of carloop, a platform that provides Australian EV data, insight reports, and trends, commented on the growth, "The trend of more affordable EV models like the MG5 entering the market is likely to continue, increasing competition in the BEV space. The rollout of new models, price decreases from multiple end-of-financial-year offerings, and the impact of new vehicle emissions standards are expected to drive continued growth in EV sales over the year."
With the adoption of EVs accelerating, it's an exciting time for the Australian automotive industry as it transitions towards a more sustainable future.
*References: [1] FCAI vFacts - https://www.fcai.com.au/resources/vfacts/ [2] EVC Monthly Sales Data - https://evcouncil.org.au/ [3] CarExpert - https://www.carexpert.com.au/
- The rise in EV sales is primarily due to factors such as federal incentives, competitive pricing, and growing acceptance, with Chinese brands like BYD and Geely making a significant impact alongside established players like Tesla.
- As the Australian automotive industry transitions towards a more sustainable future, the trend of more affordable electric vehicles like the MG5 entering the market is expected to increase competition in the battery electric vehicle space, driving continued growth in EV sales.
