The Death of Combustion Cars in Australia: Are Your Vehicle Choices Outdated? Discover What's Fueling the Dramatic Drop in Sales!
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The Australian automotive landscape is undergoing a significant transformation, with the traditional combustion engine vehicles – those powered by petrol and diesel – witnessing a marked decline in sales. As the nation's drivers become increasingly eco-conscious, the allure of electric vehicles (EVs) and hybrids is accelerating, reshaping the market and potentially, the future of transportation in Australia.
According to the latest data from the Australian Automobile Association, the sales of new internal combustion engine (ICE) light cars have dipped from 78% to 75% of total Australian sales in the second quarter of 2024. This downward trend is not a sudden jolt but a steady deceleration, indicative of a broader shift in consumer preferences and environmental awareness.
The surge in hybrid sales is particularly noteworthy, with a one-third spike from 35,003 to 46,727 units sold, boosting their market share from 11.9% to 14.9%. This rise reflects the hybrids' appeal as a practical middle ground for consumers who are environmentally conscious but not yet ready to commit fully to electric vehicles.
While EV sales have slightly decreased from their record highs earlier in the year, the overall picture remains one of growth. Battery electric vehicle sales have only marginally fallen from 25,552 to 25,353, and their market share has slightly decreased from 8.72% to 8.1%. This minor fluctuation does not overshadow the fact that over the past six quarters, there has been a clear trend of growth for both hybrids and EVs, with a corresponding gradual shrinkage in the ICE market share.
The shift is even more pronounced when looking at the past 18 months, where the share of new light vehicles sold that are petrol and diesel has plummeted from 86.4% to 75.4%. However, plug-in hybrid vehicles and hydrogen fuel cell electric vehicles still represent a small fraction of the market, accounting for about 1.5% of new light vehicles sold.
Despite these changes, traditional ICE vehicles continue to dominate certain segments of the market. Worksite vehicles and commercial vans zipping around town are still primarily running on petrol or diesel. In the June quarter, pure ICE vehicles led the small car, small SUV, and large SUV market segments, with hybrids trailing behind.
Yet, the tide is turning in other areas. Petrol and diesel power only 18% of medium-sized cars, while nearly half (46%) of new medium-sized cars sold are battery electric, and 27% of large cars are electric. Electric medium-sized SUVs have also made significant inroads, with more than one in ten new vehicles in this category being electric.
The federal government's recent decision to weaken vehicle emissions standards rules, in response to carmakers' concerns over increased costs has had an impact on the industry. The enforcement of these standards has been delayed until July 2025, allowing certain models to benefit from more lenient standards. This includes popular utes like the Isuzu MU-X and Ford Everest, which are now exempt from the strictest fuel economy rules.
Despite political controversy and the term 'ute tax' being bandied about, the government has also relaxed emissions limits for all light commercial vehicles. This move has sparked debate about the balance between environmental responsibility and economic practicality.
In a positive step towards sustainability, Victoria has announced the imminent arrival of the state's first electric fire fighting truck from Europe. This pioneering move by Fire Rescue Victoria is part of a broader initiative to modernize their vehicle fleet and will serve as a test case for the integration of electric fire appliances into their services.
As we witness the decline of combustion engine cars in Australia, it's clear that the automotive industry is at a crossroads. The growing popularity of EVs and hybrids is not just a trend but a reflection of a global shift towards more sustainable living. For Australian seniors, the question arises: are your vehicle choices keeping pace with the times, or are they becoming relics of a bygone era?
The transition to greener vehicles is not without its challenges, but it also presents opportunities for innovation, improved air quality, and a reduction in our carbon footprint. As we navigate this shift, it's essential to stay informed and consider how our choices today will shape the roads of tomorrow.
We'd love to hear from you, our Seniors Discount Club members. Have you made the switch to an EV or hybrid, or are you considering it? What factors influence your decision when it comes to choosing a vehicle? Share your thoughts and experiences in the comments below, and let's drive the conversation forward!
According to the latest data from the Australian Automobile Association, the sales of new internal combustion engine (ICE) light cars have dipped from 78% to 75% of total Australian sales in the second quarter of 2024. This downward trend is not a sudden jolt but a steady deceleration, indicative of a broader shift in consumer preferences and environmental awareness.
Sales of new combustion engine light cars in Australia dropped from 78 per cent to 75 per cent in Q2 2024. Credit: Shutterstock
The surge in hybrid sales is particularly noteworthy, with a one-third spike from 35,003 to 46,727 units sold, boosting their market share from 11.9% to 14.9%. This rise reflects the hybrids' appeal as a practical middle ground for consumers who are environmentally conscious but not yet ready to commit fully to electric vehicles.
While EV sales have slightly decreased from their record highs earlier in the year, the overall picture remains one of growth. Battery electric vehicle sales have only marginally fallen from 25,552 to 25,353, and their market share has slightly decreased from 8.72% to 8.1%. This minor fluctuation does not overshadow the fact that over the past six quarters, there has been a clear trend of growth for both hybrids and EVs, with a corresponding gradual shrinkage in the ICE market share.
The shift is even more pronounced when looking at the past 18 months, where the share of new light vehicles sold that are petrol and diesel has plummeted from 86.4% to 75.4%. However, plug-in hybrid vehicles and hydrogen fuel cell electric vehicles still represent a small fraction of the market, accounting for about 1.5% of new light vehicles sold.
Despite these changes, traditional ICE vehicles continue to dominate certain segments of the market. Worksite vehicles and commercial vans zipping around town are still primarily running on petrol or diesel. In the June quarter, pure ICE vehicles led the small car, small SUV, and large SUV market segments, with hybrids trailing behind.
Yet, the tide is turning in other areas. Petrol and diesel power only 18% of medium-sized cars, while nearly half (46%) of new medium-sized cars sold are battery electric, and 27% of large cars are electric. Electric medium-sized SUVs have also made significant inroads, with more than one in ten new vehicles in this category being electric.
The federal government's recent decision to weaken vehicle emissions standards rules, in response to carmakers' concerns over increased costs has had an impact on the industry. The enforcement of these standards has been delayed until July 2025, allowing certain models to benefit from more lenient standards. This includes popular utes like the Isuzu MU-X and Ford Everest, which are now exempt from the strictest fuel economy rules.
Despite political controversy and the term 'ute tax' being bandied about, the government has also relaxed emissions limits for all light commercial vehicles. This move has sparked debate about the balance between environmental responsibility and economic practicality.
In a positive step towards sustainability, Victoria has announced the imminent arrival of the state's first electric fire fighting truck from Europe. This pioneering move by Fire Rescue Victoria is part of a broader initiative to modernize their vehicle fleet and will serve as a test case for the integration of electric fire appliances into their services.
As we witness the decline of combustion engine cars in Australia, it's clear that the automotive industry is at a crossroads. The growing popularity of EVs and hybrids is not just a trend but a reflection of a global shift towards more sustainable living. For Australian seniors, the question arises: are your vehicle choices keeping pace with the times, or are they becoming relics of a bygone era?
The transition to greener vehicles is not without its challenges, but it also presents opportunities for innovation, improved air quality, and a reduction in our carbon footprint. As we navigate this shift, it's essential to stay informed and consider how our choices today will shape the roads of tomorrow.
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