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Chinese car brands, strong occupation of Australia!

author:Australian financial news
Chinese car brands, strong occupation of Australia!

Japanese automakers rose to prominence in Australia in the 80s and became Australians' favourites.

In the 2000s, South Korean automakers emerged.

Australian Prime Minister Anthony Albanese has been aggressively pushing for emissions reduction plans since he took office in 2022, which has created a strong boost to the demand for electric vehicles.

Chinese cars began to rise and began to boom like never before, producing more and more cars at a breakneck pace and exporting large quantities to Australia.

Electric vehicles accounted for 7.2% of new car sales in Australia in 2023, doubling from 3.1% a year ago.

Exports of Chinese-made automobiles to Australia are growing rapidly

In the past 5 years, sales of Chinese-made cars in Australia have skyrocketed by more than 2,000%!

Chinese car brands, strong occupation of Australia!

According to the car valuation website Red Book:

Two years ago, Chinese car sales surpassed German and American cars. Last year, China ranked fourth as a source country, and so far this year it ranks third.

At this rate, it may only be a matter of time before China becomes Australia's number one supplier of cars.

China is fast becoming one of Australians' largest source of new cars

More than 1 in 10 new cars in Australia are now made in China, and the top 5 electric vehicles sold in Australia are all made in China.

The increasing dominance of Chinese automakers in Australian EV sales is likely to accelerate the transformation of the Australian gasoline vehicle market.

According to a forecast by the Boston Consulting Group, a consulting firm,

Electric vehicle sales will account for more than 35% of new car sales in Australia by 2030 and by 30% in 2023.

In the future, more and more Chinese brands will seize Australia.

There will be more and more electric vehicles on the road in Australia, and the prices will become more and more competitive.

Chinese-made cars now account for 16 per cent of all new car sales in Australia

And in the field of electric vehicles, Chinese-made cars have completely dominated.

Australia's electric vehicle sales reached a record high, with Tesla ranking first, followed by BYD

Australian electric vehicle sales hit a new monthly high in March, surpassing 10,000 units for the second month in a row

More than 86% of Australia's electric vehicles come from China.

Tesla, Polestars, electric Volvo and some BMW sold in Australia are all made in China.

At the same time, sales of domestic brand cars in China are also very impressive, and BYD is currently ranked second in the Australian electric vehicle sales list after Tesla.

The Australian new car market is rapidly shifting to China, and this trend is likely to accelerate.

Australia already has some high-tech and ultra-luxury Chinese-made cars on sale

With the launch of electric vehicle manufacturers such as Nio and Lynk & Co, as well as the launch of high-end vehicles such as the GWM Tank 500, Chinese brands will continue to make inroads into the high-end market in Australia

Australians are increasingly willing to buy Chinese-made cars, including new energy vehicles.

Since Australia does not have a car manufacturing industry, it is unlikely to impose protectionist trade barriers, making it very attractive to Chinese car manufacturers.

Eighty per cent of new electric vehicles sold in Australia are made in China.

Chinese car brands, strong occupation of Australia!
Chinese car brands, strong occupation of Australia!

Chinese automakers are vying for market share, and the EV price war is intensifying

Jaecoo, the luxury car brand owned by Chinese car company Chery, has confirmed the launch of its first model in Australia.

Chinese car brands, strong occupation of Australia!

Dubbed the J7, this midsize SUV is expected to provide users with a luxurious experience at an affordable price.

Lucas Harris, head of Jaecoo Australia, said the J7 will set a new benchmark in the luxury SUV segment.

The SUV's sturdy styling is reminiscent of Range Rover, and it has a luxurious cabin to match.

It is expected to be powered by a turbocharged petrol engine mated to a seven-speed dual-clutch automatic transmission, but overseas, it will also be equipped with a plug-in hybrid.

BYD and other Chinese electric car makers are making big inroads into Australia.

According to the Australian Federal Chamber of Automotive Industry (FCAI), BYD currently occupies 14% of the Australian electric vehicle market, second only to Tesla, which occupies 53%.

The first Australians to buy electric vehicles, as well as car owners who are particularly fond of electric vehicles, have embraced BYD, and BYD is now moving into the mainstream market.

BYD will add two RVs and one pickup truck this year, bringing its lineup in Australia to six.

The MG brand, owned by Chinese state-owned SAIC, will also launch three new models this year, including the MG3 plug-in hybrid and the MG Cyberstar electric sports car, bringing the total number of electric and hybrid vehicles in Australia to five.

Chinese start-up Leapmotor and major car maker Stellantis plan to join forces to capture the Australian car market.

JAC announced its entry into the Australian pickup truck market in Sydney, debuting a new right-hand drive model JAC T9 diesel-powered pickup truck tailored to the local market.

In the future, JAC will also launch a pure electric four-wheel drive pickup truck and a T9 plug-in hybrid four-wheel drive pickup truck.

Chinese car brands, strong occupation of Australia!

Zeekr is a high-end pure electric vehicle (BEV) subsidiary of China Geely Holdings.

The Zeekr 009 and Zeekr X are currently in production.

Chinese car brands, strong occupation of Australia!
Chinese car brands, strong occupation of Australia!

Deliveries of new Chinese-made vehicles continue to break records in Australia, surpassing South Korea, Germany and the United States to become the third largest source of new vehicles, and now account for more than 15% of Australian sales.

Of the 25,468 EVs sold so far this year, 20,244 (79%) are Chinese-made.

Chinese car brands, strong occupation of Australia!

The Model Y and Model 3 were the best-selling electric vehicles in Australia in the first three months of the year, followed by the BYD Atto 3 (2,220 units sold), the BYD Seal (1,573 units sold) and the MG 4 (1,335 units sold).

Chinese car brands, strong occupation of Australia!

Great Wall Motor's Ora has a new on-road price of $35,990, which is at least $4,600 less than its 2023 launch price, making the model the cheapest electric vehicle on sale in Australia.

Chinese car brands, strong occupation of Australia!

China is now the world's largest producer of electric vehicles, and BYD surpassed Tesla in the United States in terms of share of electric vehicle production last year.

Australia's cheapest EVs are the Chinese-built BYD Dolphin and MG4 EVs, both starting at under $39,000, and all EVs priced under $50,000 are made in China.

Chinese car brands, strong occupation of Australia!

At the end of 2022, the Australian Government passed the Finance Laws Amendment (Electric Vehicle Discounts) 2022

Australian state governments have begun to introduce preferential subsidy policies to promote consumers to purchase new energy vehicles. In the ACT, new electric vehicles are exempt from stamp duty for consumers

For Chinese Australians, electric vehicles also have a lot of benefits.

Through a kickback from the state government, Wang Zhen's range-extender BYD Atto 3 SUV retailed for $54,000, and he received $6,000 in proceeds, before BYD offered a discount of around $2,000.

Wang Zhen has excess solar energy at home, which is mainly charged at home

In fact, in Queensland, the state government's kickback alone means that the Atto 3 can cost less than the Toyota petrol engine RAV4 crossover

So, what do you think about Chinese brands conquering Australia?

Would you buy a Chinese brand car?

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