BYD's record sales reflect Australia's growing appetite for EVs
EVs are here. What you choose is next.
15 July 2026
Electric vehicles (EVs) are no longer an emerging trend in Australia. They’re now a mainstream option, with buyers able to choose from more models, price points and vehicle types than ever before. Recent research says almost half of Australian car owners are planning on buying an EV or hybrid for their next vehicle.
June 2026’s sales figures reinforce that trend, with BYD recording a record 18,881 vehicle deliveries in Australia according to VFACTS - more than double its June 2025 result.
Saving at the petrol pump, growing model choice, improving technology, cheaper cars and government discounts are helping make EVs a more accessible option for Australian drivers.
Why are more Australians choosing EVs?
There’s no single reason, but several factors are contributing to the growing popularity of EVs.
Fuel prices have been unpredictable throughout 2026, influenced by ongoing global uncertainty and conflict in the Middle East. As petrol prices fluctuate, many Australians are looking for cars that could reduce their reliance on the bowser.
At the same time, buyers have far more choice than they did a few years ago. Electric and plug-in hybrid vehicles are now available across a wide range of vehicle categories, from small cars and family SUVs through to vans and utes.
Recent data from the Australian Automobile Association's EV Index shows Australians can now choose from electrified vehicles across almost every major vehicle segment, giving more drivers the opportunity to find a model that suits their lifestyle and budget.
Government initiatives are also helping drive EV adoption. CEO of National Automotive Leasing and Salary Packaging Association (NALSPA) Rohan Martin said the Electric Car Discount has remained a critical cost-of-living measure for working households, including many in outer suburbs.
“Demand is being driven by a combination of cost-of-living pressures, fuel price volatility, greater model availability and the policy certainty provided by the Albanese Government’s May 2026 announcement on the future of the Electric Car Discount," says CEO of National Automotive Leasing and Salary Packaging Association Rohan Martin.
The Federal Government's EV Discount can make eligible electric vehicles^ more affordable through a novated lease, helping many employees access a new EV for less than they might expect.
The Government recently announced the policy would continue in full until 31 March 2027, providing ongoing support for Australians considering the switch to electric. There are some changes to the EV Discount after this date.
Why more Australians are choosing BYD
BYD’s strong result reflects these broader market trends.
BYD models such as the Sealion 7, Sealion 6 and Shark 6 have resonated with Australian buyers who want modern technology, strong value and the option of electric or plug-in hybrid driving.
The Sealion 7 alone recorded 4,730 sales in June, making it one of the country’s top-selling cars for the month.
EVs are no longer a niche choice
The June sales data shows just how quickly the market is changing.
Battery electric vehicles accounted for a record 23.3% of all new vehicle deliveries. When hybrids and plug-in hybrids are included, electrified vehicles made up 49.5% of the market – almost one in every two new vehicles sold.
For almost half of Australian drivers, the conversation has shifted from whether to choose an EV to which EV best suits their lifestyle and budget.
Range anxiety remains a concern for drivers. However increased investment in charging infrastructure is expanding access to public chargers, while improvements in battery technology continue to extend vehicle range. Many new EV drivers report a dramatic drop in range anxiety once they experience daily driving and realise their actual range needs.
What this means for novated leasing
For employees considering an EV, the Federal Government’s EV Discount Policy is one of the key reasons electric vehicles have become increasingly popular through novated leasing.
If you purchase an eligible electric vehicle on a novated lease, 100% of your lease repayments and eligible running costs can be paid from your pre-tax salary and may be exempt from Fringe Benefits Tax (FBT) under the Federal Government’s EV Discount.
To be eligible, the vehicle must:
- Be a fully electric or hydrogen fuel cell vehicle
- Have been first registered on or after 1 July 2022
- Be priced below the Luxury Car Tax (LCT) threshold for fuel-efficient vehicles ($91,661 in FY2026-27)
- Not have previously had LCT applied at importation or sale
The result is a tax-effective way to drive an EV, with many employees able to package their vehicle and running costs from pre-tax income. This could significantly reduce the overall cost of ownership compared to a car loan.
The road ahead
BYD’s record-breaking June result is about more than one brand’s success. It reflects a broader shift in how Australians are thinking about car ownership.
As fuel prices remain volatile, EV technology continues to improve and tax initiatives remain available, more drivers are taking a serious look at electric vehicles for their next car.
Thinking about making the switch to an EV?
EV sales are at record levels and the conversation has shifted from whether to choose an EV to which EV is the right fit for your lifestyle.
With more models, more availability and more competition across the market than ever before, Australian drivers have more choice than ever.
Ready to see what’s available? Discover how an EV could fit into your budget with a Smart novated lease.
Important Information
This is general information only. Before entering into any salary packaging or novated leasing arrangement, you should consider your objectives, financial situation and needs, and obtain appropriate legal, tax, financial, or other professional advice based upon your own particular circumstances. This information is current as at July 2026.
^ Fringe Benefits Tax (FBT) exemption available for eligible electric or hydrogen cell vehicles purchased through a novated lease up to the Luxury Car Tax limit ($91,661 in FY 2026-27).