Australia’s EV Market Set or Massive Growth in 2025

The electric vehicle (EV) revolution in Australia continues to charge ahead, with 2025 set to be a record-breaking year for sales.

Industry experts predict that EVs will make up 11% of all new car sales in 2025, equating to around 130,000 vehicles hitting the roads—a solid jump from the 9% (115,000 vehicles) recorded in 2024. The growth will be underpinned by a combination of government incentives, an expanding charging network, and an influx of exciting new models from major automakers.

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Kristian Handberg, Future Business Head at Jet Charge, sees this as just the beginning. He believes we’re on track to see EVs dominate half of all new car sales by 2030, aligning with government targets to phase out high-emission vehicles and drive Australia toward a greener future.

▶️MORE: EVs and PHEVs Break New Sales Record in Australia

Medium SUVs: The Driving Force Behind the EV Boom

If there’s one segment that’s leading the charge, it’s medium SUVs. In 2025, a staggering 21.7% of all medium SUV sales are expected to be electric. That’s a big deal because this category is the best-selling vehicle type in Australia. With the New Vehicle Efficiency Standards (NVES) now in place, car manufacturers are under pressure to offer more low-emission models, making EVs the natural choice for more Aussie drivers.

EV buyers in this segment will be spoiled for choice, with at least 10 new medium SUVs entering the market in 2025. That brings the total to 40 options, up from 30 in 2024. Tesla’s Model Y, refreshed under the Jupiter facelift, is expected to continue leading the pack. But it’s not just a one-brand race, BYD’s Sealion 6 and 7 are also set to be strong sellers.

▶️MORE: BYD Sealion 6 Specs & Features

The EV Ute Has Finally Arrived

For years, tradies, adventurers, and fleet buyers have been waiting for a proper EV ute option. The wait is finally over. The EV ute segment, historically absent in Australia’s growing EV market, is expected to see sales of 12,000 units in 2025.

Leading the charge will be the BYD Shark PHEV, which technically launched in 2024 but is now being delivered to Aussie buyers in 2025. Joining it will be the LDV Terron 9 and Geely Riddara RD6 BEVs which offer powerful, zero-emission alternatives to traditional diesel utes. If 2025 proves these EV utes can handle Aussie conditions, expect a surge in demand in the years ahead.

Affordable EVs Are Finally Here

One of the biggest barriers to EV adoption has always been price, but that’s changing. In 2025, small passenger EVs will become more affordable than ever, with mainstream models dropping to the $30,000 range. This price shift makes EVs accessible to more Australians, proving that going electric doesn’t have to mean breaking the bank.

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For budget-conscious buyers, options like the BYD Dolphin, Leapmotor T03, MG4, and GWM Ora will offer compelling choices without sacrificing quality. The small EV segment alone is projected to rack up 17,000 sales in 2025, a significant contribution to the overall market shift.

➡️ Every Electric Car Eligible for Federal and State-based EV incentives

The Road Ahead

Australia’s EV market is shifting into overdrive, and there’s no slowing it down. With government backing, more model choices, and an increasingly EV-friendly infrastructure, 2025 is set to be a record breaking year. Whether you’re eyeing a sleek new Tesla, a workhorse EV ute, or a budget-friendly commuter, the options are becoming ingreasingly plentiful.