2025 new car sales report card revealed

A major deadline loomed for carmakers in June, with the federal government’s New Vehicle Efficiency Standard (NVES) now firmly on the radar. From this month, carmakers that fail to meet new fleet emissions targets risk financial penalties. And that’s already influencing what gets sold — and what doesn’t. 

New data in from the Federal Chamber of Automotive Industries and Electric Vehicle Council shows that new car sales dropped just two percent in the first half of 2025 compared to the same period in 2024, with around 15,000 less cars sold than the year before, down from 607,000 to 592,000. 

But look under the bonnet and the story gets more interesting. 

Which brands are gaining ground — and who’s slipping behind? 

Toyota still reigns supreme, losing only 323 sales compared to H1 2024. Despite lower numbers for Corolla, Hilux 4X4, RAV4 and LandCruiser, the launch of the updated Prado — with over 12,000 sales — helped keep the carmaker out front. 

Mazda, Ford, Kia and Hyundai followed, with Mitsubishi sliding into sixth position after a 16 per cent drop in sales. 

The biggest shake-ups came from Chinese marques. BYD skyrocketed to 8th place, with sales rising 137 per cent to 23,355 units — up from just 9,848 a year ago. This is nothing short of phenomenal for a brand only three years into its Australian journey. Pricing has a lot to do with it: its vehicles generally undercut legacy competitors, and BYD is also early to market with features like V2L and plug-in hybrid utes. 

Chery, another Chinese contender, surged 228 per cent to 14,123 sales, thanks mainly to the Tiggo 8 Pro — currently Australia’s most affordable seven-seater SUV, priced from $41,990 before on-roads. 

Utes and SUVs continue to dominate the Australian landscape, both on- and off-road. Sales of 4x4 utes jumped by 16,000 to reach 108,105 units — a 17 per cent lift. Meanwhile, SUVs gained an extra 10,000 units across the small, medium and large segments, totalling 342,418 sales in the first half alone. 

Which SUVs are changing the game? 

The affordable end of the medium SUV market continues to dominate, accounting for 19 per cent of all car sales in the first half of 2025.  

Toyota’s RAV4, which is priced from around $47,000 driveaway, remains a favourite, despite a 38 per cent dip in sales to 24,034 sales, in part due to a shortage of hybrid stock, but also the promise of an updated model later this year.  

This was followed by the Mazda CX-5 (11,991 sales), and the Mitsubishi Outlander, although it suffered a 21 per cent downturn, dipping to 11,394 sales. The Kia Sportage, Hyundai Tucson, Tesla Model Y, Nissan X-Trail, GWM Haval H6 and Subaru Forester followed in 4th to 9th place. 

Toyota vs Tesla vs BYD sales 

Tesla, unlike Toyota, has not rebound. The new Model Y landed in June bringing its year-to-date total to 10,4331 sales, and resulting in the brand’s best monthly sales for the year amid the Musk-Trump bromance. But the Model 3 only saw a minor jump as the financial year came to an end. All in all, Tesla sales are down by 8970 units for the first half compared to same period last year. 

Drivers also turned to BYD’s plug-in hybrid (PHEV) newcomer, the Sealion 6 (4375 sales), priced from $42,990-52,990 before on-roads. Its all-electric equivalent, the Sealion 7 (priced from $54,990-$62,990 before on-roads), also proved popular with 3756 sales. 

What’s driving the shake-up in 4X4 ute sales? 

While 4X2 ute sales dropped by 17 per cent, 4X4s jumped a corresponding amount. The Ford Ranger topped the lot with 26,671 sales, followed by 22,245 for the Hilux and 10,956 sales for the Isuzu D-Max. All however saw significant drops in sales – 10 to 12 per cent for each brand. 

The breakout instead was the plug-in hybrid BYD Shark, which starts from $57,900 before on-roads, and nabbed 10,424 sales since the start of the year. As one of the longest range PHEVs on the market, and considerable utility in the form of vehicle-to-load ( V2L ) capabilities and a 2.5 tonne tow rating, it appears to have stolen sales from the legacy brands – putting them on watch. 

Other victims to the Shark’s onslaught were the LDV T60 (down 28 per cent), Volkswagen Amarok (down 37 per cent), and GWM Ute (down 53 per cent) and the Ssangyong Musso (down 44 per cent). 

What’s happening in passenger car sales? 

Sedan-style cars are increasingly out of favour – particularly in the small and medium-sized segment, there were 30,000 less sold compared to the year before, down to 71,000 sales. 

Two culprits alone account for half of this drop: sales for the Toyota Camry (now only sold as a hybrid) are down by 6,529 sales while sales of the Tesla Model 3 electric sedan have dipped 6,885 sales. 

What’s trending: new brands, new priorities 

The latest figures are not just about the raw numbers — they also reflect which direction the market is heading.  

Chinese brands like BYD, GWM, Chery and MG are no longer fringe players. They’re establishing footholds and offering vehicles that are more than just budget buys. Many are pushing the envelope on tech, electrification and design — albeit with some teething issues around after-sales service and supply chains. 

The upcoming NVES is also starting to reshape the market, providing more certainty for new entrants and innovative drivetrains and tech. Expect to see more hybrids and EVs, particularly in segments like medium SUVs and dual-cab utes, where electrified options have been lacking — until now. 

Final thoughts: buyers win, as choice broadens 

Aussie car buyers have never had more choice in their favourite car segments — or more to think about. Traditional nameplates still dominate, but newcomers like the Shark and Sealion are forcing established players to rethink pricing, features and emissions profiles.  

In the end, that could be a win for the consumer — but keeping up with what’s changing might require a bit more homework than usual.