A recent report released by the Australian Automotive Dealer Association (AADA) has revealed that while interest in EVs is growing, it remains a slow shift for consumers.
The ‘EV & Hybrid Vehicle Wave 2 Insights’ report, which gathered insights from a diverse sample of 2,000 Australian drivers, also showed that 62 percent of Australians are still leaning towards traditional SUVs or Utes for their next vehicle.
Key Findings
According to the findings, the proportion of the market open to purchasing an EV has increased from 21 percent in 2022 to 25 percent in 2024. However, the higher upfront cost associated with EVs continue to be a hurdle for most consumers.
“Most buyers are eyeing non-electric SUVs or Utes as their next vehicle, which is unsurprising given the Australians’ affection for these vehicle types. Yet, these are also the very vehicles most susceptible to stringent emissions standards,” said AADA CEO James Voortman.
He further emphasised the impact of the current cost of living crisis on consumers’ willingness to invest in new vehicles, particularly EVs.
“The last thing we need to do at this time is to further discourage consumers from buying new cars which are safer, cleaner, and greener than the old cars they replace,” he added.
The report urges the government to consider the survey findings and formulate an emissions policy that balances the reduction of vehicle emissions with the preservation of affordability, choice, and the well-being of the local automotive industry.
“This research confirms what we already knew – Australians continue to prefer SUVs, are mindful of prices in light of current living costs, and are least likely to consider EVs when replacing large SUVs and Utes,” Mr Voortman said.
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