Tesla could also be Australia’s number-one electrical automobile (EV) model, however it has entered 2025 weakened as extra rivals appear to reach on daily basis. Nonetheless, the corporate says fiercer competitors is an efficient factor for the trade.
The American model’s gross sales have been in decline for the previous 12 months, throughout which period a number of rival producers have had time to both launch in Australia or deliver all-new fashions that compete instantly towards Tesla’s two-car catalogue Down Below.
BYD has launched its Sealion 7 to combat the Mannequin Y, whereas it has additionally had its Seal pitched towards the Mannequin 3 for a while. Different manufacturers which have launched with Mannequin Y rivals embody Deepal and its S07, Geely’s EX5, Leapmotor’s C10, and Sensible’s #1 – all from China, the place Tesla additionally builds its Australian-bound automobiles.
When requested about the specter of rising competitors, significantly from China, Tesla Australia nation director Thom Drew outlined that his model had a extra open stance.
“It retains us on our toes, I feel that’s the easiest way to have a look at it,” he informed CarExpert.
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He went on to say that the extra EV makers have been successfully helping Tesla in its ambitions, stating the model’s “alternative has at all times been, since our early days, taking ICE automobiles off the street.”
“Having an increasing number of EVs out there, while [competitors are] taking a slice of our pie, they’re all singing from the identical songbook; they’re all attempting to persuade Australians to purchase an EV, so that may be a constructive factor for the trade,” he stated.
“Sure, it means we’ve to do extra to speak why our merchandise stay the most effective and actually get that message out, and it’s going to be a more durable combat than it’s ever been. However I feel collectively within the trade, we’ve acquired an enormous alternative.”
To date in 2025, EV gross sales have made up only a small portion of total automobile deliveries. Of the 381,017 complete autos bought this yr, EVs have accounted for simply 23,911 – dwarfed by petrols (159,485), diesels (112,427) and hybrids (61,302), whereas additionally practically overwhelmed by plug-in hybrids (PHEVs) with 16,312.
Not one of the high 20 best-selling autos in April 2025 have been totally electrical, with 4 of the highest 5 powered by diesel engines. Even so, Mr Drew hopes Tesla and its rival EV producers can assist sway some consumers away from inner combustion.
“Have a look at the top-selling autos out there, if we will get them shopping for any EV, that’s a win from the very starting,” he informed CarExpert.
“Then we will hopefully proceed to persuade individuals to purchase [Tesla’s] merchandise.”
It’ll nonetheless be a steep hill for Tesla to climb, as April noticed it ship simply 500 autos for the complete month, virtually 76 per cent fewer EVs than it bought in the identical month final yr.
“Quite a lot of the discount relies on our year-on-year outcomes, clearly identical time final yr was fairly important, the launch of Mannequin 3 had truly begun then, and there have been additionally some logistics delays that pushed the whole lot collectively, so it was a reasonably important quantity,” Mr Drew stated.
“However clearly numbers are down; there’s no hiding from that. A big a part of that’s [because] we began orders of recent Mannequin Y in January, and deliveries are solely starting [in early May] so there’s a real hole there.
“However we have a look at Mannequin 3, it has been an excellent vendor for us, it’s nonetheless the primary promoting mid-sized [EV] sedan. That section in itself has hit a little bit of a plateau, the place we’re seeing individuals shift in the direction of SUVs an increasing number of, so I feel we’ve hit a little bit of a limitation there with individuals considering that they want an SUV.”
Mr Drew additionally recognized the Mannequin 3 sedan as a powerful participant within the mid-sized sedan section, by which it’s the second-best-selling automobile behind the Toyota Camry in gross sales to date this yr. The section contains the Mannequin 3-rivalling BYD Seal, even when it’s lagging in gross sales.
“We’d like to see extra individuals driving Mannequin 3, [we think it’s] a unbelievable automobile and we’ll do what we will to get individuals taking a look at Mannequin 3 and making that consideration, however that’s contributing to that [lower] consequence,” Mr Drew informed CarExpert.
“On that, we count on to see issues flip round as we start deliveries of recent Mannequin Y in earnest.”
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