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Market Insights: Electrification beats SUVs



SUVs have long held the top spot in the vehicle of choice for Australians but since outselling the passenger car category in 2017 as the most popular four-wheeler in garages, another change is creeping into our media preferences.

The collision of confidence in the electric vehicle (EV) market and electric vehicles in general, high petrol prices and the promise of cleaner and more attractive electric models ready for showrooms in Australia have fueled the growth of the market. national interest in electric, hybrid and plug-in hybrid vehicles. (PHEV) SUV.

On the surface, SUVs and EVs struggle in the same sentence. SUVs are considered to be everywhere, spacious and towing-friendly with a horizon as wide as the view from the windshield. Electric vehicles tend to be more connected, mostly to a charging station.

But in less than four years, sales of all-electric SUVs and PHEVs (which, unlike hybrids, are capable of operating in dedicated EV modes) have exploded.

In 2018, Australia sold a modest 690 SUVs powered by all-electric powertrains or PHEVs (for comparison, in the same year, 1600 hybrid SUVs found buyers), but came By 2021, that number has skyrocketed to 6500 units, an increase of 89.4%. .

This year, the market welcomed new players and viewership skyrocketed, with year-to-date figures for October showing a 96% boom compared to 2018, amassing 16,836 deliveries.

By the end of this year, EVs and PHEV SUVs are expected to reach sales of around 20,200 units, up 96.6% from just four years ago.

During the same period in 2018, hybrid SUVs also outpaced the growth of petrol and diesel SUVs with 53,700 vehicle sales expected this calendar year, up 97% over four years.

Just look through the list of new vehicles and it’s easy to see where all this SUV action comes from. While some models may not perfectly define an SUV (many would like another word, hatchback, even crossover is a generous term), there’s plenty to choose from and more to come. .

Consider that in the last 12 months alone, Australia has added SUV models such as the BYD Atto 3, BMW iX and iX3, Hyundai Ioniq 5 and Hyundai Santa Fe hybrid, Genesis GV60 and E-GV70; Tesla Model Y, new MG ZS, new Mitsubishi Outlander PHEV, Kia EV6, new Kia Niro (hybrid and EV), Kia Sorento (hybrid and PHEV) and Toyota Corolla Cross hybrid.

These are built on continued sales concerns for models including the Audi e-Tron; BMW X3 and X5 PHEV, Lexus NX450h+ PHEV and UX300e, Mercedes EQA, EQB and EQC, MG HS PHEV, Mazda MX-30, Peugeot 3008 PHEV, Volvo XC40, XC60 and XC90,

At the same time as the SUV category becomes the new sales battleground for a range of new powertrains, the crown of many traditional petrol and diesel models has slipped.

Sales of diesel SUVs were a bright spot for the segment but have been dwarfed by PHEVs and even the EV group. Sales fell a modest 10% in 2018.

Gasoline SUVs in the mid- and large-segment segment have been hit harder, largely because soaring fuel prices have prompted buyers to consider PHEVs, EVs and hybrids. However, the small SUV remains a gasoline stronghold because of its relatively low purchase price.

Hybrid SUVs have shared PHEV and EV astronomical rides. Since 2018, hybrid SUV sales have grown by 97% and this year is expected to reach nearly 54,000 units, a far cry from 2018’s 1600.

And we are just getting started. More EV and PHEV models (and indeed thanks to Toyota, more hybrid models) are expected in the coming year and into the 2030s.

It’s really time to consider an electric — or electrified — vehicle, even if you still love the great outdoors.

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