China overtakes Japan as Australia’s main source of new vehicles

Canberra (ANTARA) - China has become the main source of new vehicles sold in Australia for the first time, according to February data, ending Japan’s 28-year dominance of the country. The Federal Chamber of Automotive Industries (FCAI) said that 22,362 new vehicles from China were sold nationwide in February, surpassing Japanese-made vehicles at 21,671 units and Thailand at 19,493 units. Japan had been the main source of vehicles in Australia every month since 1998, according to the FCAI. The body said the Australian new-vehicle market recorded total sales of 90,712 units in February, giving China-made vehicles a 24.6 per cent market share. FCAI stated that out of the ten automotive brands that have entered the Australian market since 2020, nine are Chinese-made. ‘After 28 years, Japan’s position has finally been overtaken by China as the largest source of vehicles for the Australian market in a single month,’ said FCAI Chief Executive Tony Weber in a statement. The Australian market is one of the most open and competitive in the world. New brands can enter, build dealer networks, and compete on price, technology, and design. Consumers are the beneficiaries of this competition. BYD became the largest Chinese brand in February, recording sales of 5,323 new vehicles. In the first two months of 2026, BYD has sold 10,324 new vehicles in Australia compared with 3,956 in the same period in 2025. FCAI noted that battery electric vehicles (BEVs) accounted for a record 11.8 per cent of total national new-vehicle sales in February.