Australia New Vehicle Sales Rise 0.9% in September 2026

September Vehicle Market Records Modest Growth

Australia’s new vehicle market recorded 102,924 registrations in September 2026, a 0.9% increase from September 2025, according to the Federal Chamber of Automotive Industries. Australia New Vehicle Sales reached 914,312 units during the first nine months of 2026, leaving the year-to-date result virtually flat compared with the same period last year. The September result therefore points to modest overall market growth, while the underlying mix continued to shift across passenger cars, SUVs, light commercial vehicles and medium-heavy commercial vehicle segments.

Passenger Cars and SUVs Drive September Growth

Passenger car registrations reached 13,796 units in September, up 6.3% from the same month in 2025, while SUV registrations rose 6.1% to 65,116 units. Light commercial vehicle sales moved in the opposite direction, falling 13.2% to 20,627 units, and medium-heavy commercial vehicle sales declined 12.6% to 3,385 units. The contrasting results show that September growth was concentrated in passenger cars and SUVs rather than being evenly distributed across the major vehicle categories, with commercial vehicle segments recording notable declines during the month.

Electrified Powertrains Gain Market Share

Electrified powertrains continued to gain share in the Australian market. Battery electric vehicles from all sources accounted for 24.2% of September 2026 sales, compared with 11.3% in September 2025. Plug-in hybrid vehicle sales increased 122.7% year over year, while hybrid vehicle sales grew 20.7%. FCAI Acting Chief Executive Dianne O’Hara said Australian motorists are embracing a broader range of powertrains as manufacturers provide greater model choice and competition increases. She added that many consumers are making practical decisions based on the technologies available to meet their needs.

Chinese Brands Strengthen Competitive Position

Brand performance also shifted significantly in September. Toyota sales fell 3.5% to 17,682 units, while BYD increased 61.1% to 8,191 units. Ford declined 8.5% to 7,592 units, Kia dropped 19.5% to 5,901 units, and Mazda decreased 18.9% to 5,702 units. Among the top 10 brands, BYD, GWM, MG, Geely and Chery were the only brands to increase sales volume compared with September 2025. The results highlight stronger momentum among several Chinese brands within the Australian market.

Vehicle Supply Sources and Best-Selling Models

Vehicle sourcing data further underscores the changing competitive landscape. China was the largest source of vehicles sold in September, supplying 35.5% of the market, while Japan accounted for 22.5%, Thailand for 17.3% and South Korea for 9.6%. The leading individual models were the Ford Ranger, Toyota RAV4 and Toyota HiLux, in that order. Together, the sourcing and model results show a market combining strong demand for established high-volume nameplates with rising contributions from Chinese vehicle manufacturers, particularly as buyers gain access to a broader selection of powertrain and vehicle options.

Industry Impact & Outlook

September’s results indicate that Australia’s vehicle market is becoming more diverse in both powertrain choice and brand participation, even as total year-to-date registrations remain broadly unchanged. The sharp increase in BEV and PHEV penetration could intensify competition among automakers as manufacturers expand electrified offerings, while the stronger performance of Chinese brands may increase pressure on established players. China’s leading share of vehicle supply also highlights its growing importance to the Australian market. The next phase of competition is likely to center on model availability, powertrain choice, pricing and the ability of manufacturers to match consumer preferences across different vehicle segments.

Frequently Asked Questions

What happened to Australia’s new vehicle market in September 2026?
Australia’s new vehicle market recorded 102,924 registrations in September 2026, marking a 0.9% increase from September 2025 while the year-to-date market remained virtually flat. Passenger cars and SUVs recorded growth, whereas light commercial and medium-heavy commercial vehicles declined. Electrified vehicles gained substantial ground during the month, with battery electric vehicles reaching 24.2% of total market sales. Plug-in hybrid and hybrid vehicle sales also increased, while several Chinese brands recorded higher sales volumes than a year earlier.