Electric Vehicles Capture 20% of Australian New Car Market in May 2026

The Federal Chamber of Automotive Industries (FCAI) reported that out of 100,206 new vehicles sold in May, 20% were battery-electric vehicles. This surge is attributed to several factors, including improved vehicle availability, rising fuel prices, and supportive government policies.

Notably, the SUV segment experienced a remarkable transformation. Electric SUV sales increased by 167% compared to May 2025, while plug-in hybrid SUV sales surged by 377%. In contrast, petrol-powered SUV sales declined by 31%, and diesel SUVs saw a 41% decrease over the same period.

FCAI Chief Executive Tony Weber highlighted the rapid change in consumer preferences, stating, "The shift is particularly evident in the SUV segment, where consumer preferences are changing rapidly. Today’s SUV buyer is increasingly choosing hybrid, plug-in hybrid, and electric options."

Among automotive brands, Toyota maintained its position as Australia's best-selling brand in May with 16,342 sales. Chinese manufacturer BYD continued its rapid growth, securing the second position with 8,211 sales, ahead of Ford (7,195), Hyundai (7,007), and Kia (6,761).

The increasing adoption of EVs is expected to place additional demand on Australia's charging infrastructure. The FCAI has called for continued investment in public charging facilities to support this growing trend.

For prospective car buyers, this shift indicates a broader range of EV options available in the market. As the infrastructure continues to develop and more models become available, transitioning to an electric vehicle is becoming an increasingly viable and attractive option for Australian consumers.