Utes, SUVs lead Australian new car market in 2023

In what must put a full stop to the COVID sales slump and related supply chain issues, new car sales in Australia set a record in 2023. A total of 1,216,780 sales for the year eclipsed the previous record of 1,189,116 from 2017. Last year’s sales result was also a 12.5 per cent improvement on 2022’s total of 1,081,429.

According to Tony Weber, Chief Executive for the Federal Chamber of Automotive Industries (FCAI), last year’s record-breaking achievement is proof of the dynamic and competitive nature of Australia's automotive landscape, providing consumers with an extensive array of choices across various price brackets.

"This extraordinary result is a testament to the adaptability and resilience of both industry players and consumers alike,” Weber said. “This is a tremendously exciting time for the industry.

“Consumers have a wide choice of vehicles available to meet their work, recreation and family needs that come equipped with the latest advancements in engine technology, safety features and advanced driving, navigation and entertainment aids.”

While positive about the 2023 result, Weber tempered expectations of another sales record being set this year.

“We recognise that the automotive sector will face challenges in the coming months. Cost-of-living pressures and increased interest rates will impact the market, and we anticipate a challenging 2024.”

Ranger is Number 1

Ford’s Ranger was Australia’s best-selling new car in 2023, bettering the Toyota HiLux to which it had been runner-up in the sales race since 2017. While the Ranger has outsold the HiLux in 4x4 sales previously, the HiLux enjoyed superior 4x2 sales to take the overall lead. This past year marks the first time that the Ford ute has beaten the Toyota in combined 4x2 and 4x4 annual sales.

The Ranger’s final sales total for 2023 was 63,356 against 61,111 for the HiLux. Compared to 2022, Ranger sales were up by 33 per cent, while HiLux sales fell by almost five per cent.

In becoming Australia’s #1 selling new vehicle in 2023, the Ranger also set a new single-year sales record for the model, as well as Ford’s first outright win in almost three decades. The last time a Ford was Australia’s Number 1 selling new car was back in 1995.

SUVs and Utes rule

While last year’s new car sales figures were noteworthy for Ford and the Ranger, they also marked the first time that no passenger cars (sedans, hatchbacks, etc.) made the overall Top 10 list. As recently as 2015, a Corolla was Australia’s top selling new car, with the likes of the Camry, Mazda3 and Hyundai i30 regularly second to the HiLux or near the pointy end of the Top 10 list. However, the growth of SUVs and dual cab utes has seen passenger car sales diminish year on year. In 2022, the Corolla and i30 were the last non-ute/SUV vehicles in the Top 10, finishing sixth and ninth respectively. Neither car made the Top 10 in 2023, although the i30 did finish eleventh and the Corolla placed twelfth (some sources have the i30 and Corolla in twelfth and thirteenth, respectively).

SUVs made up 55.8 per cent of the total new car market in Australia for 2023, while light commercials accounted for 22.5 per cent. Passenger cars were the next best segment, with a 17.4 per cent market share.

Petrol-powered cars are still dominant, accounting for 48.4 per cent of the market, with diesel’s share dropping from 33.4 per cent in 2022 to 31.2 per cent last year. Hybrids accounted for 8.1 per cent of the market and battery electric vehicles 7.2 per cent. Both improved their market share from 2022, particularly electric, which accounted for only 3.1 per cent of Australian new car sales two years ago. Combined, the electric, hybrid and plug-in hybrid segments accounted for 16.2 per cent of all new car sales last year.

Toyota on Top

The brand battle went to Toyota once again in 2023; their 21st straight year holding the Number 1 position in the Australian market. Total sales of 215,240 was the 19th time in the past 20 years that Toyota have sold more than 200,000 new cars here in a calendar year. According to Toyota Australia, they achieved record sales in the second half of 2023.

Of Toyota’s 215,240 total sales, just over a third (72,064) were hybrids, which in turn represented almost three quarters of all hybrid vehicle sales in Australia last year.

Next best amongst the brands - and a distant second behind Toyota – was Mazda, with 100,008 sales for 2023, followed by Ford with 87,800. The aforementioned Ranger accounted for the bulk of that total. Korean stablemates Kia and Hyundai were fourth and fifth best, with 76,120 and 75,183 sales respectively. Mitsubishi achieved 63,511 sales last year, followed by MG (58,346), Tesla (46,116), Subaru (46,114) and Isuzu Ute (45,341).

MG and Tesla were the main improvers amongst the brands, but in each instance, more than half their total sales came from one model, suggesting their position could be in jeopardy when sales of those models fall away. 

Top Selling Car Brands in Australia 2023

1. Toyota – 215,240
2. Mazda – 100,008
3. Ford – 87,800
4. Kia – 76,120
5. Hyundai – 75,183
6. Mitsubishi – 63,511
7. MG– 58,346
8. Tesla – 46,116
9. Subaru – 46,114
10. Isuzu Ute – 45,341

Ranger v HiLux fight continues

In terms of individual models, VFACTS data provided by the FCAI shows the Ranger and HiLux dominated the Australian market last year, just like they have for the past few years. As evidence of that, the third best-seller last year, Isuzu’s D-Max, only achieved around half the sales of the leading Ford and Toyota pair. Toyota’s RAV4 was fourth best overall, with 29,627 sales, followed by the MG ZS (29,258) and Tesla Model Y (28,769).

The Toyota LandCruiser was next best, with 26,449 sales, although some outlets have this model lower on the sales ladder, separating the 70 Series utes and wagons. Completing the Top 10 was the Mitsubishi Outlander (24,263), Mazda CX-5 (23,083) and Hyundai Tucson (21,244).

Top Selling New Cars in Australia 2023

1. Ford Ranger – 63,356
2. Toyota HiLux – 61,111
3. Isuzu D-MAX – 31,202
4. Toyota RAV4 – 29,627
5. MG ZS – 29,258
6. Tesla Model Y – 28,769
7. Toyota LandCruiser (ute and wagon) – 26,449
8. Mitsubishi Outlander – 24,263
9. Mazda CX-5 – 23,083
10. Hyundai Tucson – 21,224

(NOTE: some sources count the LandCruiser utes and wagons separately, elevating the Outlander, CX-5 and Tucson, and moving the LandCruiser Prado into the #10 position.)

Big movers in the Top 10 last year were the MG ZS and Tesla Model Y. Of these two crossover-type SUVs; the MG improved from eighth to fifth, while the Tesla wasn’t even in the Top 20 in 2022.

Outside the Top 10, the next best SUV or ute was the LandCruiser Prado with 20,710 sales, the Mazda BT-50 with 17,526, then the Mitsubishi Triton with 16,641. The Triton was inside the Top 10 in 2022, but slipped in sales due to reduced supply last year ahead of the next-generation’s arrival in February.

Behind the Triton, the Subaru Forester saw 16,381 sales in 2023, followed by the Mazda CX-3 with 15,776, the Kia Sportage with 15,747 and Ford’s Everest with 15,071. Further back, the Isuzu MU-X achieved 14,139 sales for the year, the Mazda CX-30 13,115, the Subaru Outback 12,903 and the Nissan X-Trail 12,861.

Amongst this group outside the Top 10, the X-Trail was the big improver, recording a 61.9 per cent jump on 2022 sales. Forester sales rose by just over 50 per cent last year and Everest sales by 46 per cent.