Australia Hybrid Vehicle Market Report and Forecast 2024-2032

Australia Hybrid Vehicle Market Outlook

The Australia hybrid vehicle market size attained 101.43 thousand units in 2023. The market is further projected to grow at a CAGR of 15.8% between 2024 and 2032, attaining 389.84 thousand units by 2032.

Key Takeaways

• As per National Transport Commission, Australians purchased 70,466 conventional hybrid cars in 2021, representing a 20.3% increase from sales in 2020.

• Toyota hybrid cars and SUVs were the most popular, accounting for 92.9% of hybrid car sales in Australia in 2021. The company’s RAV4 SUV hybrid model led the pack with 25,850 sales.

• According to Electric Vehicle Council’s data, in October 2022, there were 95 variants of electric vehicles available in Australia, including 35 plug-in hybrid variants and 60 battery electric vehicle variants.

• As per industry reports, in September 2022, the number of fully electric vehicles sold in Australia (7,247) surpassed combined sales for hybrid and plug-in hybrid cars (5,141).

One significant market driver is the enactment of stringent emission and fuel economy norms, encouraging the adoption of hybrid vehicles as a more environmentally friendly transportation option. For instance, the fuel efficiency standard set to launch in January 2025 will outline how much carbon dioxide a car can produce. By 2034, this initiative can help reduce the country's vehicle carbon emissions by over 10 million tonnes.

Additionally, the appeal of hybrid vehicles to a broader audience due to their combination of reliability, long-range drivability, and better fuel economy compared to traditional petrol and diesel vehicles contributes to the market's expansion. The increasing availability of hybrid models from key OEMs and the preference of consumers for fully hybrid or mild hybrid vehicles further boost the Australia hybrid vehicle market growth.

Meanwhile, the focus of key players in the Australian hybrid vehicle market is on developing more of charging infrastructure, offering incentives to spur EV purchases, and working towards accelerating the growth of the EV market in Australia through national policies and regulations. vehicle market growth. As per industry reports, in June 2022, there were 3,669 public chargers across 2,147 electric vehicle charging locations in the country.

Fully hybrid vehicles, combining an internal combustion engine with a larger electric motor for significant electrification benefits, hold a significant Australia hybrid vehicle market share. These vehicles offer substantial fuel efficiency gains, reduced emissions, and the ability to operate in electric mode for extended periods.

Plug-in hybrid vehicles, on the other hand offer the flexibility of electric propulsion while providing the convenience of a combustion engine for longer trips. As per Federal Chamber of Automotive Industries (FCAI), conventional hybrid electric vehicle sales comprised 7.6% of the total automotive market as of August 2022, while plug-in hybrids made up 0.6%.

Market Segmentation

Australia Hybrid Vehicle Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments

Market Breakup by Vehicle Type

• Commercial Vehicles

• Passenger Car

Market Breakup by Electric Powertrain Type

• Series Hybrid

• Parallel Hybrid

• Power Split Hybrid

Market Breakup by Component

• Chassis

• Body

• Powertrain

• Electronics

• Others

Market Breakup by Hybridisation

• Plug-in Hybrid

• Mild Hybrid

• Fully Hybrid

Market Breakup by Propulsion

• NGV

• HEV

• PHEV

Market Breakup by Region

• New South Wales

• Victoria

• Queensland

• Australian Capital Territory

• Western Australia

• Others

Competitive Landscape

Market players are focused on expanding the range of available hybrid models, and addressing supply chain challenges to meet the rising demand for hybrid vehicles.

• Honda Motor Co., Ltd.

• Mercedes-Benz Group AG

• Toyota Motor Corporation

• Ford Motor Company

• Hyundai Motor Company

• Others

Key Highlights of the Report