Report Overview

Australia and New Zealand Electric Vehicle Market – Industry Trends & Forecast Report, 2030

The Australia and New Zealand Electric Vehicle Market size by value was estimated at USD 23.12 billion in 2023. During the forecast period between 2024 and 2030, the Australia & New Zealand Electric Vehicle Market size is projected to grow at a CAGR of 9.85% reaching a value of USD 36.66 billion by 2030. Prominent drivers of the market are the increasing government policies, subsidies, and tax incentives that promote EV adoption. The lower operating costs of electric vehicles compared to traditional gasoline or diesel vehicles, among other factors, will contribute to market expansion during the forecast period.

By volume, the Australia & New Zealand Electric Vehicle Market size was estimated at 178.2 thousand units in 2023. During the forecast period between 2024 and 2030, the Australia & New Zealand Electric Vehicle Market size is projected to grow at a CAGR of 7.09% reaching the volume of 194.5 thousand units by 2030. The anticipated decrease in battery pack prices, as projected by the International Council on Clean Transportation in Australia & New Zealand is expected to boost the adoption of EVs. Also, the adoption of electric vehicles has increased in various regions and countries due to rising gasoline prices. EVs, which run on lithium-ion batteries, offer a hybrid charging system instead of traditional gasoline or diesel engines. EVs are environmentally friendly and do not emit harmful greenhouse gases during operation. Furthermore, electricity is significantly cheaper than fossil fuels, reducing the overall operating costs of electric vehicles compared to conventional gasoline and diesel vehicles.

Electric Vehicle – Overview

An electric vehicle (EV) is a type of transportation that uses electric motors for movement. These vehicles can draw power from external sources, such as overhead lines, or operate independently with energy stored in batteries. Some EVs use solar panels or fuel cells to generate electricity. Industrial electric vehicles, like electric trucks, are becoming more popular worldwide.

Australia & New Zealand Electric Vehicle Market

Growth Drivers

Government Incentives

In New Zealand, the Clean Car Discount (CCD) scheme was pivotal in promoting electric vehicles. From July 2021, it offered rebates up to NZD 7,015 for electric and hybrid-electric vehicles and imposed penalties on high-emission cars. This incentive structure spurred EV sales, which saw a surge before its cancellation at the end of 2023. The CCD's impact was significant, driving electric and hybrid-electric vehicles to account for over half of new car sales in December 2023. However, the newly elected government decided to end the program, leading to uncertainty about future government incentives.

Increasing Demand for Sustainable Transportation

New Zealand has seen a marked increase in demand for electric and hybrid-electric vehicles. In December 2023, these vehicles made up 50.8% of new car sales, an 18.1% increase year-on-year. This shift is driven by a combination of factors: government incentives like the Clean Car Discount, growing environmental awareness, and expanded EV infrastructure, including a nationwide charging network. Similar trends are seen in the Australian Capital Territory (ACT), where electric car sales grew by 165% in 2023, indicating a broader movement toward sustainable transportation in the region.

Challenges

High Initial Cost

The high initial cost of electric vehicles (EVs) continues to restrain the market in Australia and New Zealand. Despite government incentives like the Clean Car Discount, consumers are deterred by the upfront price of EVs compared to traditional petrol and diesel vehicles. This financial barrier is exacerbated by limited awareness of long-term savings from reduced fuel and maintenance costs. In both countries, high cost hinders wider adoption of EVs, contributing to the slow pace of transition toward sustainable transportation.

Impact of Escalating Geopolitical Tensions on Australia & New Zealand Electric Vehicle Market

Geopolitical tensions can have a multifaceted impact on the Australia & New Zealand Electric Vehicle Market, mainly due to the evolving dynamics between China and Western countries. China's dominance in the EV supply chain, especially in lithium-ion battery production, raises concerns about supply security and market competition. As BYD, a major Chinese EV manufacturer, expands globally, it's gaining traction in the Australian and New Zealand markets. However, escalating geopolitical tensions could lead to trade restrictions or anti-subsidy investigations, affecting the flow of EV components and materials. These developments underscore the broader impact of international relations on the growth and sustainability of the EV market in these regions.

Australia & New Zealand Electric Vehicle Market

Segmental Coverage

Australia & New Zealand Electric Vehicle Market – By Vehicle Type

By vehicle type, the Australia & New Zealand Electric Vehicle Market is split into Passenger Car and Commercial Vehicle segments. The passenger cars segment holds a higher share in the Australia & New Zealand Electric Vehicle Market by vehicle type. It can be attributed to their safety, comfort, and reliability. They are also the fastest-growing segment in the industry. New technologies like the Internet of Things (IoT) and Advanced Driver Assistance Systems (ADAS) are enhancing safety in passenger vehicles, driving the demand in Australia & New Zealand region.

Australia & New Zealand Electric Vehicle Market – By Propulsion Type

On the basis of propulsion type, the Australia & New Zealand Electric Vehicle Market is split into Battery Electric Vehicle and Hybrid Electric Vehicle segments. The hybrid electric vehicle segment holds a higher share in the Australia & New Zealand Electric Vehicle Market by propulsion type. It is primarily due to its versatility and fuel efficiency. HEVs combine an internal combustion engine with an electric motor, providing the flexibility to switch between power sources. This duality offers a longer driving range and less range anxiety compared to battery-electric vehicles, making them attractive to consumers transitioning from traditional petrol or diesel cars. Additionally, HEVs often benefit from government incentives, such as the Clean Car Discount in New Zealand, further boosting their popularity in a market transitioning towards electrification.

Australia & New Zealand Electric Vehicle Market – By Drive Type

Based on drive type, the Australia & New Zealand Electric Vehicle Market is divided into All Wheel Drive, Front Wheel Drive, and Real Wheel Drive segments.

Australia & New Zealand Electric Vehicle Market – By Range

Based on range, the Australia & New Zealand Electric Vehicle Market is divided into Up to 150 Miles, 151–300 Miles, and Above 300 Miles segments.

Australia & New Zealand Electric Vehicle Market – By Component

Based on component, the Australia & New Zealand Electric Vehicle Market is divided into Battery Pack & High Voltage Component, Motor, Brake, Wheel & Suspension, Body & Chassis, and Low Voltage Electric Component segments.

Competitive Landscape

Major players operating in Australia & New Zealand Electric Vehicle Market include Tesla, MG, BYD, Nissan, Kia, Hyundai, Mercedes-Benz, Volvo, Cupra, and GWM Ora. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In January 2024 - General Motors (GM) announced its plans to introduce the GMC brand to China, Australia, and New Zealand in 2024. GMC aims to capitalize on growing electric vehicle demand in these new markets, with plans to launch the Sierra EV by late 2024 or early 2025.

• In 2023 - Uber announced plans to add 10,000 electric cars to its fleet in Australia as part of its commitment to achieve zero carbon emissions by 2040. This expansion, in partnership with EVDirect, will see Uber offering electric vehicles like the BYD Atto 3 to drivers with flexible financing. In the third quarter of 2023, Uber recorded over 1.2 million electric rides in Australia, indicating growing adoption of EVs. This initiative supports Uber's sustainability goals while boosting the second-hand market for EVs in Australia.

Scope of the Report

By Vehicle Type

• Passenger Car

• Commercial Vehicle

By Propulsion Type

• Battery Electric Vehicle

• Hybrid Electric Vehicle

By Drive Type

• All Wheel Drive

• Front Wheel Drive

• Rear Wheel Drive

By Range

• Up to 150 Miles

• 151–300 Miles

• Above 300 Miles

By Component

• Battery Pack & High Voltage Component

• Motor

• Brake, Wheel & Suspension

• Body & Chassis

• Low Voltage Electric Component

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Australia & New Zealand Electric Vehicle Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Increasing demand for sustainable transportation
         2. Falling battery costs
         3. Increasing variety of EV models
         4. Government incentives
      2. Restraints
         1. High initial cost
         2. Longer charging times
      3. Opportunities
         1. Stringent government regulations on emissions
         2. Advancement in technology
      4. Challenges
         1. Limited charging infrastructure
         2. Limited range
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Australia & New Zealand Electric Vehicle Market: Marketing Strategies
5. Australia & New Zealand Electric Vehicle Market: Pricing Analysis
6. Australia & New Zealand Electric Vehicle Market Overview
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
      2. By Volume (Thousand Units)
   2. Market Share & Forecast
      1. By Vehicle Type
         1. Passenger Car
         2. Commercial Vehicle
      2. By Propulsion Type
         1. Battery Electric Vehicle
         2. Hybrid Electric Vehicle
      3. By Drive Type
         1. All Wheel Drive
         2. Front Wheel Drive
         3. Rear Wheel Drive
      4. By Range
         1. Up to 150 Miles
         2. 151-3000 Miles
         3. Above 300 Miles
      5. By Component
         1. Battery Pack & High Voltage Component
         2. Motor
         3. Brake, Wheel & Suspension
         4. Body & Chassis
         5. Low Voltage Electric Component
7. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Australia & New Zealand Electric Vehicle Company Market Share Analysis, 2023
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
8. Australia & New Zealand Electric Vehicle Market: Import & Export
9. Impact of Escalating Geopolitical Tensions on Australia & New Zealand Electric Vehicle Market
10. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
    1. Tesla
    2. MG
    3. BYD
    4. Nissan
    5. Kia
    6. Hyundai
    7. Mercedes-Benz
    8. Volvo
    9. Cupra
    10. GWM Ora
    11. Other Prominent Players
11. Key Strategic Recommendations
12. Research Methodology
    1. Qualitative Research
       1.  Primary & Secondary Research
    2.   Quantitative Research
    3.   Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4. Breakdown of Primary Research Respondents, By Country
    5.   Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Australia & New Zealand Electric Vehicle Segmentation

Figure 2       Australia & New Zealand Electric Vehicle Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2023

Figure 4       Australia & New Zealand Electric Vehicle Market Size, By Value (USD Billion), 2019-2030

Figure 5       Australia & New Zealand Electric Vehicle Market Size, By Volume (Million Units), 2019-2030

Figure 6       Australia & New Zealand Electric Vehicle Market Share, By Vehicle Type, By Value, 2019-2030

Figure 7       Australia & New Zealand Electric Vehicle Market Share, By Vehicle Type, By Volume, 2019-2030

Figure 8       Australia & New Zealand Electric Vehicle Market Share, By Propulsion Types, By Value, 2019-2030

Figure 9       Australia & New Zealand Electric Vehicle Market Share, By Propulsion Types, By Volume, 2019-2030

Figure 10     Australia & New Zealand Electric Vehicle Market Share, By Drive Type, By Value, 2019-2030

Figure 11     Australia & New Zealand Electric Vehicle Market Share, By Drive Type, By Volume, 2019-2030

Figure 12     Australia & New Zealand Electric Vehicle Market Share, By Range, By Value, 2019-2030

Figure 13     Australia & New Zealand Electric Vehicle Market Share, By Range, By Volume, 2019-2030

Figure 14     Australia & New Zealand Electric Vehicle Market Share, By Component, By Value, 2019-2030

Figure 15     Australia & New Zealand Electric Vehicle Market Share, By Component, By Volume, 2019-2030

List of Tables

Table 1        Australia & New Zealand Electric Vehicle Market Size, By Value (USD Billion), 2019-2030

Table 2        Australia & New Zealand Electric Vehicle Market Size, By Volume (Million Units), 2019-2030

Table 3        Australia & New Zealand Electric Vehicle Market Size, By Vehicle Type, By Value, 2019-2030

Table 4        Australia & New Zealand Electric Vehicle Market Size, By Vehicle Type, By Volume, 2019-2030

Table 5        Australia & New Zealand Electric Vehicle Market Size, By Propulsion Types, By Value, 2019-2030

Table 6        Australia & New Zealand Electric Vehicle Market Size, By Propulsion Types, By Volume, 2019-2030

Table 7        Australia & New Zealand Electric Vehicle Market Size, By Drive Type, By Value, 2019-2030

Table 8        Australia & New Zealand Electric Vehicle Market Size, By Drive Type, By Volume, 2019-2030

Table 9        Australia & New Zealand Electric Vehicle Market Size, By Range, By Value, 2019-2030

Table 10      Australia & New Zealand Electric Vehicle Market Size, By Range, By Volume, 2019-2030

Table 11      Australia & New Zealand Electric Vehicle Market Size, By Component, By Value, 2019-2030

Table 12      Australia & New Zealand Electric Vehicle Market Size, By Component, By Volume, 2019-2030

Table 13      Tesla Company Overview

Table 14      Tesla Financial Overview

Table 15      MG Company Overview

Table 16      MG Financial Overview

Table 17      BYD Company Overview

Table 18      BYD Financial Overview

Table 19      Nissan Company Overview

Table 20      Nissan Financial Overview

Table 21      Kia Company Overview

Table 22      Kia Financial Overview

Table 23      Hyundai Company Overview

Table 24      Hyundai Financial Overview

Table 25      Mercedes-Benz Company Overview

Table 26      Mercedes-Benz Financial Overview

Table 27      Volvo Company Overview

Table 28      Volvo Financial Overview

Table 29      Cupra Company Overview

Table 30      Cupra Financial Overview

Table 31      GWM Ora Company Overview

Table 32      GWM Ora Financial Overview