EV sales more than double in 2023, led by Tesla and BYD in Australia

Tesla Model 3 and Model Y

Key Points

  • EV sales grew by 161% year-on-year in 2023
  • EVs comprised 7.2% of new car sales in 2023 vs. 3.1% in 2022
  • Tesla leads sales followed by BYD, MG and Polestar

Electric car sales continue to break records with more Australians buying electric cars than ever before.

In a record breaking year for overall car sales (1.3 million sold), EV sales outgrew the broader car industry – growing 161 per cent over 2023.

EVs comprised 7.2 per cent of the total new vehicles over the past 12 months, compared with 3.1 per cent in 2022.

EV sales were buoyed mainly by the introduction of the FBT exemption for electric cars, falling prices and a substantial increase in supply compared to prior years.

Leading the sales charts in 2023 are the Tesla Model Y and Tesla Model 3, followed by the BYD Atto 3, MG4 and Polestar 2.

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Tesla leads local EV sales (again)

White Tesla Model 3 Performance charging with home wallbox

Tesla’s decision to pioneer electric cars over a decade ago continues to pay dividends. About half of all electric vehicles sold in 2023 were a Tesla, this compares to about 60 percent in 2022. Tesla sold more cars (of any type) than Audi, Honda, and Mercedes-Benz.

Continuing on from its sales success in 2022, the Tesla Model Y SUV is the best selling electric car in 2023 with 28,769 sales, followed by the related Model 3 (17,347). The Tesla Model Y was the 6th best selling car of any type in Australia.

Best selling EV models in 2023

Similarly to Australia, Tesla continues to lead electric car sales charts in almost all markets where it is sold, with the Tesla Model Y leading the way in most cases. It was however recently eclipsed by BYD as the world's largest EV maker.

The Best of the Rest: BYD, MG and Polestar

Blue BYD Atto 3 front


The BYD Atto 3 was the third best selling electric car in 2023 with 12,438 overall sales. BYD, now the world's largest EV maker, added two new models to its EV line-up, with deliveries of the Dolphin (925 sales) and Seal (471) commencing in the final quarter of 2023.

BYD sold 11,749 cars in Australia in 2023.

Orange MG4 on the road


The MG4 from MG, an affordable electric hatchback, has made a tremendous debut in 2023, selling 3134 vehicles since its launch.

Polestar 2


An updated Polestar 2 buoyed sales for the swedish EV maker, achieving its best year in Australia to date. The Model 3-rivalling Polestar 2 liftback registered 2463 units.

How will 2024 look?

The new year looks to be another pivotal moment for electric vehicles with over 40 new models and new manufacturers expected to enter the Australian market.

From the updated Tesla Model 3, to the first EV models from automotive giants; Toyota and Volkswagen, 2024 looks to be the most interesting year yet for EVs in Australia. EV manufacturers appear to finally be paying attention to the Australian market.

> MORE: Future EVs: Every New Electric Car Coming to Australia in 2024

About the author

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Danny Thai

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Danny is a consultant and entrepreneur working at the cutting edge of the electric vehicle and energy transition. He is passionate about educating and helping consumers make better decisions through data. He is the founder of zecar and is currently the EV Innovation Manager at Endeavour Energy.

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