Medium SUVs remained one of the most important segments in Australia’s new-vehicle market in 2025, underpinning private, business and fleet demand. A review of VFACTS data shows a segment balancing familiarity and transition — with long-standing nameplates holding their ground, hybrids delivering scale, and electric SUVs recording meaningful growth.
RAV4 continues to set the benchmark
The Toyota RAV4 again emerged as the clear leader in the medium SUV segment under $60,000, outselling its nearest rival by more than two to one. Beyond headline volume, the significance of the RAV4 lies in its powertrain – they are all hybrids.
This steady flow of hybrid vehicles into the market is already influencing emissions outcomes and will shape the future used-car pipeline, particularly for fleets focused on Whole of Life Costs and residual values.
CX-5 defies age and expectations
Despite being late in its model lifecycle, the Mazda CX-5 retained second place with close to 23,000 units sold in 2025. This result was achieved despite the absence of a current ANCAP rating and with a replacement model due in 2026.
The CX-5’s performance highlights the strength of brand loyalty and perceived value in the family SUV market, even as safety ratings and electrification become increasingly prominent considerations.
Established players hold the middle ground
The Mitsubishi Outlander followed closely behind the CX-5, with the Hyundai Tucson and Kia Sportage rounding out the top five. These models continue to anchor the medium SUV segment, particularly for fleets seeking predictable running costs, established dealer networks and consistent supply.
Further down the rankings, the Nissan X-Trail and Subaru Forester recorded lower volumes. The Forester did, however, show improvement on 2024 following the introduction of its updated model, underlining the importance of product renewal in a crowded segment.
New electric entrants gain traction
One of the most notable developments in 2025 was the rapid uptake of electric medium SUVs. The BYD Sealion 7 recorded around 13,000 sales in its first full year on the market, moving from zero registrations in 2024 to mainstream status.
The model’s success reflects strong demand for electric SUVs that match the size and practicality of traditional medium SUVs, supported by novated leasing arrangements and the FBT exemption.
Chinese brands challenge established norms
Beyond BYD, other Chinese brands also made inroads. The Geely X5 achieved close to 4,000 sales in 2025, while the Geely Star EMi added around 1,000 units. Both models surpassed several established competitors, demonstrating how quickly new entrants can gain ground when pricing, size and powertrain align with market expectations.
Premium medium SUVs and EV influence
In the medium SUV segment priced above $60,000, traditional premium brands continued to perform strongly. Lexus led the category with the NX, followed by the Mazda CX-60 and BMW X3, both of which recorded growth compared with 2024.
Electric models also reshaped this end of the market. The Kia EV5 delivered close to 5,000 sales, while the Volkswagen ID.4 and Zeekr 7X recorded notable increases from minimal volumes the year before.
Model Y blurs segment boundaries
Although not always grouped within traditional VFACTS medium SUV tables, the Tesla Model Y remains a significant force. With around 22,000 units sold in 2025, it would sit near the top of the medium SUV category and rank among the top performers overall.
Combined with the Sealion 7 and EV5, the Model Y highlights how electric SUVs are now a substantial and growing component of the medium SUV market.
What the data signals for 2026
The 2025 results confirm that medium SUVs are no longer defined by a single powertrain. Hybrids continue to deliver scale and stability, while electric models are rapidly building volume and credibility.
For fleet buyers and organisations planning replacement cycles in 2026 and beyond, the segment now demands a more nuanced approach — balancing emissions, safety, cost, availability and long-term value in a market that is evolving faster than ever.
