New vehicle sales in Australia took a significant hit in November, dropping by 11.6% compared to the same month last year. According to the Federal Chamber of Automotive Industries (FCAI), this decline reflects tough economic conditions and a clear consumer pivot towards more efficient hybrid vehicles. A total of 99,091 vehicles were delivered, continuing a downward trend seen over the past several months.
A Consistent Downward Trend Across the Nation
The November figures are part of a larger pattern of slowing sales. While the first half of 2024 saw healthy growth, the market has contracted by 8.2% since July. This slide has been consistent, with sales falling 14.2% in October, 17.2% in September, and 15.9% in August.
FCAI Chief Executive Tony Weber highlighted the pressure on households, stating, “The private buyer segment is really feeling the pinch, with sales down 16.6% in November alone.”
This downturn was not isolated to one region. Sales declined in every state and territory, underscoring the widespread economic factors at play. The Northern Territory saw the most significant drop at 21.1%, followed closely by Tasmania at 18.8% and the Australian Capital Territory at 18.1%.
Consumer Shift Towards Hybrid Models Accelerates
While the overall market is shrinking, consumer preferences are evolving rapidly. SUVs and Light Commercial Vehicles continue to be the most popular choices, but traditional passenger cars have fallen to just 13.7% of the market. The real story is the surge in demand for hybrid and plug-in hybrid vehicles.
“We’re seeing a clear preference for more versatile and efficient vehicles,” Weber noted.
This trend is clearly visible in the sales data for November.
| Vehicle Type | Percentage of Sales |
| Hybrid | 10.5% |
| Plug-In Hybrid | 6.4% |
| Electric Vehicles | 3.0% |
| Traditional Vehicles | 80.1% |
Together, hybrid and plug-in hybrid vehicles accounted for 16.9% of sales, a substantial increase from just 9.9% in the previous year. In contrast, fully electric vehicles had another slow month, failing to capture the same level of consumer interest.
Toyota and Ford Continue to Dominate the Market
Despite the challenging conditions, some brands continue to perform strongly. Toyota remains the dominant player in the Australian market, with 20,562 sales in November, far ahead of its competitors. Ford secured the second spot with 8,720 sales, followed by Mazda, Kia, and Mitsubishi.
The list of top-selling vehicles was also led by familiar names. The Toyota RAV4 was the best-selling model with 5,526 units sold. It was followed by the Ford Ranger, with Toyota’s own Prado and HiLux models also featuring in the top ranks, demonstrating the brand’s continued appeal to Australian buyers.
Industry Focuses on Future Demands
The automotive industry is actively responding to these changing market dynamics. Car manufacturers are expanding their lineups of affordable, low-emission vehicles to meet growing consumer demand and upcoming regulatory standards.
According to Weber, the industry is committed to providing more options that align with both buyer preferences and environmental goals. Key initiatives are already underway to support this transition.
- Expanding the availability of new hybrid and plug-in hybrid models.
- Collaborating with government bodies to build out recharging infrastructure.
- Developing more affordable low-emission vehicles for the market.
These strategic efforts aim to boost consumer confidence and ensure the industry can navigate the evolving landscape successfully.
