- China became the largest source of vehicles for Australia for the first time in 28 years.
- Total Australian vehicle registrations declined slightly year-over-year despite strong competition.
The Australia new vehicle registrations February 2026 report shows a shift in the country’s automotive sourcing landscape. According to industry data released on March 4, total registrations reached 90,712 units during the month, marking a 4.5% decline compared with February 2025.
A notable development was the surge of vehicles sourced from China, which reached 22,362 units. This milestone allowed China to surpass Japan as the largest vehicle source for the Australian market for the first time in 28 years. Japan had held the leading position continuously since 1998.
Overall Market Performance in Early 2026
Combined sales for January and February totaled 177,804 units, reflecting a modest 2.2% year-over-year decline. Despite the slight contraction, the Australian automotive market continues to remain highly competitive with multiple global manufacturers supplying vehicles across segments.
Segment-Wise Sales Trends
Passenger cars recorded 12,642 units in February, representing a 1.1% decrease compared with the same month in 2025. SUVs remained the dominant segment with 53,876 units sold, though this segment also declined by 6.2% year over year.
Light commercial vehicle sales reached 21,191 units, slipping 0.7%, while medium and heavy commercial vehicles totaled 3,003 units, registering the steepest decline at 12.9%.
Rising Presence of Chinese Automakers
The Australian market has witnessed increasing participation from new entrants in recent years. Since 2020, ten new automotive brands have entered the country, with six launching within the past two years. Notably, nine of these new brands manufacture their vehicles in China, highlighting the growing influence of Chinese automotive production in Australia.
The Australia new vehicle registrations February 2026 data underscores how open market dynamics and consumer choice continue to reshape supplier dominance within the region.
Brand Performance and Sales Rankings
Several major brands experienced notable fluctuations during the month. Toyota recorded a 27.8% decline to 13,606 units, while Mazda sales dropped 19.9% to 7,042 units. In contrast, Ford posted a 9.0% increase with 6,907 units sold.
Kia maintained stable sales at 6,710 units, and Hyundai reported a 4.5% increase, reaching 6,266 units. Mitsubishi, ranked seventh in monthly sales, also experienced a significant 22.3% decline compared with the previous year.
Best-Selling Models in February
The top-selling vehicles during the month reflected continued demand for utility and pickup models. The Ford Ranger led the rankings, followed by the Toyota HiLux, while the Chery Tiggo 4 Pro secured the third position among Australia’s most popular vehicles.
These results illustrate evolving consumer preferences and increasing competition among global automakers operating in the Australian market.
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