VFACTS: March sales slight slip

That number equates to 1041 fewer new car sales when compared with March 2024, or a decrease of 42.5 vehicles per day. 

Across the month, passenger vehicle sales fell furthest, down 19.6 per cent or 3448 units over the same month last year. SUV sales continued to remain buoyant, up 1.7 per cent or 1116 units as did light commercial vehicle which gained 6.5 per cent or 1493 units. 

The heavy commercial vehicle market fell 4.7 per cent or 202 units versus March 2024. 

Significant shifts across vehicle types and fuel sources contine. Petrol vehicles account for the largest share at 40.3 per cent (43,785 units), followed by diesel with 28.9 per cent (31,548 units). 

In the run-up to the end of the federal Fringe Benefits Tax exemption period on April 1, March sales of plug-in hybrid electric vehicles (PHEVs) were up 380 per cent to 6932 units, strongly contrasting falling sales of battery electric vehicles (BEVs). 

Hybrid vehicles without a plug continued to show strong growth, up 22.8 per cent to 16,830 units, representing 15.5 per cent of the market. 

The Federal Chamber of Automotive Industries (FCAI) says the electric vehicle transition is "not progressing at a pace likely to meet the long-term targets under the New Vehicle Efficiency Standard (NVES)", noting BEV representation of just 4.9 per cent across the new car market compared with 9.5 per cent this time last year. 

However, with last month's 2829 Tesla sales and 182 Polestar deliveries not included in VFACTS reporting added to the total, BEV sales reach 8385 units and this fuel type's share of the March market rises to 7.5 per cent. 

These brands no longer report via VFACTS following disagreements with the FCAI over its lobbying position on the New Vehicle Efficiency Standard. 

Australia’s hydrogen-powered vehicle market remained virtually non-existent with just one vehicle sold in March. 

"We are at a critical point in transitioning to a lower-emission vehicle fleet, but the reality is clear. Australian families and businesses are not shifting in large numbers to EVs," warned FCAI chief executive Tony Weber, ramping up the rhetoric in the run-up to the federal election. 

"While the supply of EVs is increasing, now with 89 models available in Australia, the demand for EVs is weak. The early adopters have acted, but the rest of the vehicle-buying public has not followed." 

Mr Weber said that Australia is not alone in its slow approach to BEV uptake, more must be done to address consumer acceptance of low-emissions technologies. 

"This is consistent with a number of other advanced markets around the world," he added. 

"The Australian automotive industry has long advocated for an ambitious and achievable emissions standard. 

"Once again, questions must be asked about the government's modelling, and in particular their assumptions about consumer acceptance of new low-emissions technologies." 

However, the Electric Vehicle Council countered the undercurrent of radically re-thinking the New Vehicle Efficiency Standard in election campaigning from some quarters. 

"Now is not the time to be changing our standards, amending the New Vehicle Efficiency Standard or creating even more uncertainty for Australians – the NVES has already started working and these latest figures prove it," commented Electric Vehicle Council CEO Julie Delvecchio. 

Ms Delvecchio's positivity was related to the Electric Vehicle Council's classification of PHEVs (but not regular hybrids) in electric vehicle sales statistics, seen as controversial but following precedent set long ago by the International Energy Agency. 

The Electric Vehicle Council – which records sales of models from Polestar and Tesla not covered by the FCAI's VFACTS report – shows sales of both BEV-only brands are down. 

Polestar sold just 182 units across the month of March, down 14.5 per cent YoY, and Tesla 2829 units, down 20.9 per cent. Year-to-date (YTD) figures for the duo are down 28.9 and 50.4 per cent respectively. 

The market is also showing significant shifts in buyer behaviour, with private sales down 2.5 per cent to 54,806 units, while business sales increased 4.7 per cent to 41,404 units. 

Government purchases fell 13.9 per cent to 2826 units, and rental fleet sales dropped 13.5 per cent to 5434 units. 

Chinese-manufactured vehicles continue to gain market share, with 18,347 units representing a 3.9 per cent increase over March 2024. Japan remains the largest source of new vehicles with 33,916 units (up one per cent), while Thailand-sourced vehicles fell 10 per cent to 21,803 units. 

Vehicles from Turkey (up 44.1 per cent) and Germany (up 12.6 per cent) showed strong growth. 

Segment analysis reveals the medium SUV category remains dominant at 23.8 per cent market share despite declining 9.8 per cent year-over-year. 

The upper large SUV segment experienced a dramatic 40.1 per cent drop while light buses under 20 seats surged 282 per cent, and the people movers segment grew 45.4 per cent. The premium market showed mixed results, with Mercedes-Benz growing 34.1 per cent while BMW dropped 3.0 per cent. 

Standout growth stories include BYD (up 196.6 per cent overall) and Chery (up a remarkable 293.2 per cent). 

Elsewhere, Toyota is again the market leader in March with 20,541 unit sales (and 18.9 market share points), ahead of Ford with 8232 units sales (7.6 per cent), Mazda 8000 units (7.4 per cent), Kia with 7307 units (6.7 per cent), and Mitsubishi with 7265 units (also 6.7 per cent). 

The Ford Ranger took back its place on top of the podium in March with 4932 sales, knocking off the Toyota RAV4 which slipped to second with 4321 sales. 

Arch Ranger rival, Toyota's HiLux, placed third for the month of March with 4081 sales ahead of the Mitsubishi Outlander with 3005 deliveries and fifth-placed Toyota LandCruiser Prado with 2871 sold. 

Across the country, the more populous states recorded a decrease in new-vehicle sales during March, against an increase in sales for less populous regions. 

The Australian Capital Territory moved up 4.6 per cent on March 2024 to 1657 new vehicle sales, the Northen Territory up 3.3 per cent to 961 units, South Australia up 2.2 per cent to 7143 units, Tasmania up 10.2 per cent to 1774 units, and Western Australia up 9.1 per cent to 12,085 units. 

Conversely, sales in New South Wales shrunk 0.9 per cent to 33,491 units, Queensland 6.8 per cent to 21,954 units, and Victoria 1.9 per cent to 29,541 units.