VFACTS: Diesel and petrol sales decline as electrified vehicles surge in May

Australians are buying fewer petrol and diesel vehicles, with electrified models now accounting for almost half of all new vehicle sales in May, according to the latest VFACTS report.

Battery electric vehicles hit a record 20 per cent share of the market during the month, the highest monthly result on record, as the shift away from traditional powertrains continues. When hybrids and plug-in hybrids are included, electrified vehicles made up 46 per cent of all sales in May.

Drilling down into the light commercial space shows sales of both diesel and petrol vehicles continue to decline, down 16.4 per cent and 35.5 per cent respectively when comparing March 2026 to March 2025. By comparison over the same period, sales of electric and PHEV vehicles are up 328.6 per cent and 22.4 per cent respectively. That EV growth is off a small base, rising from just 42 in May 2025 to 180 in May 2026.

“As the number of EVs on the road continues to grow, charging infrastructure must become more of a priority. Continued investment and enabling policy settings will be essential to ensure infrastructure keeps pace with consumer adoption,” said Tony Weber, FCAI chief executive. “Charging infrastructure rollout must accelerate if Australia is to maintain consumer confidence and support continued uptake.”

“The evidence increasingly demonstrates that NVES is encouraging manufacturers to bring more low emissions vehicles to Australia, increasing both consumer choice and technology availability,” said Tony Weber, FCAI chief executive. “Regulatory stability and growth in public charging infrastructure is now critical to maintaining investment, consumer confidence and continued growth, particularly during a period of global economic uncertainty.”

This growth is being driven by newer entrants. BYD was up 155 per cent year-on-year, while Omoda Jaecoo surged 729 per cent and Geely rose 416 per cent, highlighting how quickly the market mix is shifting. BYD’s growth is being underpinned by tighter control of its supply chain, with the brand’s own car carrier Zhengzhou delivering vehicles directly into Australia. The purpose-built vessel is part of BYD’s expanding shipping fleet and allows the company to move vehicles from China to local ports on its own schedule, supporting rising demand.

The Ford Ranger remained Australia’s best-selling 4×4 ute in May, continuing to lead the segment ahead of the Toyota HiLux, with a noticeable gap back to the Isuzu D-MAX, BYD Shark and Mitsubishi Triton. When 4×2 variants are included, the Ranger and HiLux also dominated the broader ute market, well ahead of all rivals.