Stock exchange darling, Tesla, dominates Australian EV sales by selling more EVs in 2020 than every other brand combined…
Tesla imported more battery Electric Vehicles (EVs) into Australia in 2020 than all other brands combined.
Despite production challenges at its Fremont, California plant in mid-2020, figures obtained by carsales confirm Tesla shipped 2949 vehicles to Australia in 2020 and over 2600 of them were the mid-size Model 3 sedan.
The Model 3 sales result means that the battery-electric midsizer outpaced sales of conventional powered segment stars like the Audi A4 (783), but trailed (narrowly) those of the BMW 3 Series (3406) and Mercedes-Benz C-Class (3378).¹
Unlike the majority of Australia’s new car brands, the American company does not report via the FCAI’s monthly VFACTS report. That said, the brand’s 2020 sales dwarfed the total number of EVs declared as registered by the industry body in 2020—1769.
Even in the face of the challenges presented by the COVID-19 pandemic, 2020 was a year of progress for Australian EV sales. The near-1800 cars reported to VFACTS was an increase of 16.2% on 2019 and contrasted the 13.7% decline of the broader new car market.¹
Tesla’s total shipments into Australia were 152 Model S, 176 Model X and 2631 Model 3s. carsales sources suggest around 2000 Model 3s have already been landed in Australia in 2021.
VFACTS is also reporting that EVs are off to a better start in early 2021. Sales of EVs (excluding Tesla) totalled 262 units in February—72% higher than the same month in 2020.²
The newly-launched Porsche Taycan, one of two Highly Commended models in the 2020 carsales Car of the Year awards and the winner of the 2020 People’s Choice Award, realised 51 sales in February.
Australian EV awareness grows
While Australians may not receive the generous incentives to purchase EVs available in many overseas markets, an uptick in awareness, consideration and interest in EVs on Australia’s #1 for cars is translating into growing sales opportunities for Australian car dealers.³
Between November 2020 and January 2021, views of brand new EVs listed for sale on carsales increased by 32% over the previous comparable period, resulting in an uptick in enquiries of 25%.³
In the used car arena, views increased 30% over the same period, while enquiries surged 46%.³
Furthermore, consumer engagement with carsales EV editorial content, a key indicator of interest in new cars, grew progressively between May 2020 and January 2021. During this period, the amount of EV-related content published doubled, while cumulative editorial page views grew by more than 13,000 per month over the period.4
carsales Editorial content now provides news, advice and reviews and everything Australians “auto know” in order to make an informed decision around EVs, including incoming EV models, to recharge times and recharge costs, battery life and EV safety.
Global momentum for EVs surges
While Australian EV sales rise slowly, global momentum for EVs is surging, with a number of key trends contributing to increasing automaker investment and sales around the world. OEMs are increasingly choosing to pool resources into dedicated EV platforms, models and production facilities.
Indeed, Volvo has signalled its intention to sell an all-electric line up by 2030, while Jaguar has set itself the even more aggressive target of 2025. In addition, a number of major mainstream automakers including Ford, Hyundai, Kia, Mercedes-Benz, Toyota and Volkswagen have announced new plans for increased EV production and investment.
And it’s not just legacy automakers signalling their intention to develop EVs. From Apple to Huawei, consumer electronics giants are keen to enter the EV market.
Government intervention across Europe including consumer purchase incentives, emissions legislation and fines for automakers that fail to meet CO2 targets, punitive tariffs on petrol and diesel vehicles, and reduced road tolls and parking fees for EVs, has also stimulated demand for EVs across the continent.5
In a sign of the times, the UK Government has even outlined a plan to ban the sale of brand new petrol and diesel vehicles by 2030.
All in all, these initiatives sent European EV sales up 106% in 2020 to 733,109 units5—despite the broader market contracting by 3.8 million units due to the Covid-19 pandemic.
However, the growing momentum for EVs is not limited to Europe. Notably, in the United States, the election of Joe Biden as President has jolted EV ambition, with commitments now in place to replace the federal government’s fleet (645,000 vehicles) with US-made EVs, conversion of all 500,000 US school buses to electric power by 2030, and US$400 billion to build 500,000 new EV charging outlets by the end of 2030.
China’s auto industry body expects EV sales to rise by 40% in 2021, to 1.8 million units. And with a minimal legacy in the country, Chinese consumers are keen to embrace electric power. In fact, in a recent survey, 86% of Chinese want an EV in the future—boding well for a rapid transition over the coming years.
Australian EV sales rise slowly
Disjointed policies between governments at state and federal levels is not helping EV uptake in Australia—nor encouraging brands to commit to launching new EV models Down Under.
State governments in Victoria and South Australia have controversially flagged the idea of taxing EVs, while the ACT government has committed to incentivising its citizens to take up an EV offering. Canberra residents will be offered interest-free loans of up to $15,000 to purchase a used EV as part of the government’s sustainable household scheme.
So far, the federal government has ruled out legislated purchase incentives for consumers, instead opting to incentivise uptake by Australian businesses. However the lack of clear vision and action to supercharge EV adoption at the consumer level has Nissan Australia and the Electric Vehicle Council of Australia up in arms.
Australian EV uptake is also limited by a relative lack of affordable options, with the cheapest brand new EV for sale, the MG ZS EV, available at $43,990 drive away.
Source:
1. VFACTS, January–December 2020
2. VFACTS February 2021
3. carsales internal data, November 2020–January 2021
4. carsales internal data, May 2020–January 2021
5. Automotive News Europe, ‘EVs make huge gains helped by incentives, tougher CO2 rules
