Australia’s new vehicle market showed resilience in June 2025 with total sales reaching 122,509 units, a 2.4% increase on June 2024. That brings the year-to-date total to 608,811 vehicles, up slightly despite ongoing cost-of-living pressures and subdued government and fleet purchasing.
According to the Federal Chamber of Automotive Industries (FCAI), “Australia remains one of the most open and competitive markets in the world,” with over 400 models on offer. However, the numbers also reveal growing divisions in the market, with strong retail demand for utes and hybrids, and a noticeable pullback in trucks and government fleet orders.
Dual-Cab Utes Dominate the Charts
The four top-selling vehicles in June were all light commercial utes:
- Ford Ranger – 6,293
- Toyota HiLux – 6,195
- Isuzu D-Max – 3,119
- BYD Shark 6 – 2,993
Together, these four accounted for 15.2% of total sales, reflecting continued enthusiasm for dual-cabs across private, business, and rental buyers. Notably, the BYD Shark, a new plug-in hybrid ute, has burst onto the scene with over 10,400 units sold since launch in earlier this year, contributing nearly half of BYD’s total sales for the year.
This strong debut positions the Shark to potentially overtake the D-Max in coming months, especially if current momentum holds. As one commentator noted, “BYD and the Shark have made plug-in hybrids sexy, just like the RAV4 did with the standard hybrid.”
Passenger Cars Slide, SUVs Climb
Passenger vehicle sales slumped again in June, down 27.9% year-on-year, and now account for just 12.4% of the total market. SUVs continue to dominate, representing nearly 60% of all vehicles sold, with an increase of 9.4% in June alone. Hybrid SUVs are leading the charge, with Toyota, Hyundai, and Mazda benefiting most.
The top SUV performers included:
- Hyundai Kona – 2,484 (up 37.7%)
- Hyundai Tucson – 2,332 (up 29.9%)
- Ford Everest – 2,705 (up 19.3%)
- Toyota RAV4 – 2,421 (down 38.0%, impacted by supply constraints)
EV Sales Stagnate Despite More Models
Despite more than 100 electric vehicle models now on sale in Australia, EVs made up just 7.7% of total YTD sales, slightly below the 8.0% share from the same period in 2024. This decline is driven in part by the exclusion of Tesla and Polestar data from VFACTS figures and possibly a loss of price competitiveness as the FBT exemption on plug-in hybrids ended in March.
Electric-only vehicle sales also fell 36.6% year-on-year in the June tally from traditional manufacturers, though this isn’t a like-for-like comparison due to changes in reporting. Petrol vehicles were down 8.5%, while diesels dropped 4.3%.
However, hybrids rose 14.9% YTD and plug-in hybrids surged 210% YTD, largely due to last-minute purchases before the FBT cut-off and strong demand for new entrants like the BYD Shark.
Government and Business Sales Weaken
Business fleet purchases remain steady, especially in the SUV and ute segments, but government sales dropped a significant 18.3% in June. This may reflect constrained budgets, delayed replacement cycles, or challenges sourcing low-emission base-spec models that government fleets prefer.
“Governments aren’t buying because they’re realising they can keep assets longer — not by strategy but necessity,” an industry expert noted. Fleet managers may also be struggling to find compliant, low-emission options under the new NVES regulations that meet operational requirements.
Truck Market Eases but Vans Stay Strong
The truck market cooled significantly after several years of record growth. According to the Truck Industry Council (TIC), total truck sales for the first half of 2025 fell 12.1%, to 22,582 units — still the third best on record.
Breakdown by segment:
- Heavy Duty: down 18.5% YTD
- Medium Duty: down 8.4% YTD
- Light Duty Trucks: down 13.1% YTD
Only the Light Duty Van segment showed growth in June, up 5.7% to 1,311 units. Year-to-date van sales are down just 3.7%, indicating growing interest in smaller, more manoeuvrable last-mile delivery solutions. In fact, June marked the closest margin ever between vans and light trucks — just 21 units apart.
Looking Ahead
The market appears to be entering a transitional phase. Strong ute and SUV demand, particularly among private buyers, continues to lift the monthly headline numbers. However, under the surface, the cooling truck market, falling government orders, and flatlining EV adoption hint at caution.
As TIC CEO Tony McMullan explained, “It is not surprising to see the market coming off these highs… tight economic times, a lessening of demand for product and economic and general uncertainty [are] the key determinants for the drop in sales.”
With the Kia Tasman ute launch looming and the impact of NVES yet to be fully felt, July and Q3 sales will offer further insight into whether 2025 will close as another record-setting year — or a turning point for fleets and manufacturers alike.
Top 10 Vehicles in June 2025
| Rank | Model | Sales |
|---|---|---|
| 1 | Ford Ranger | 6,293 |
| 2 | Toyota HiLux | 6,195 |
| 3 | Isuzu D-Max | 3,119 |
| 4 | BYD Shark 6 | 2,993 |
| 5 | Ford Everest | 2,705 |
| 6 | Mazda CX-5 | 2,582 |
| 7 | Hyundai Kona | 2,484 |
| 8 | Toyota RAV4 | 2,421 |
| 9 | Hyundai Tucson | 2,332 |
| 10 | Toyota LandCruiser | 2,243 |
