Tesla takes stranglehold of electric-vehicle sales in Australia

Article by James Kirby sourced via Herald Sun

Car sales figures for Tesla in Australia show the electric vehicle maker is now utterly dominant in the local market, even challenging popular petrol cars.

Outselling its nearest electric rival by 10 to one, annual Australian sales for Elon Musk’s Tesla Model 3 beat the Toyota Camry by about 2000 units in the ­medium sedan category in 2021.

The Tesla figures, which have been released publicly for the first time, recast the numbers for the electric car market showing a sector bigger than many expected, though sorely lacking in choice.

Officially there are more than 30 EVs for sale across Australia, but the number genuinely available to buyers is closer to 10.

Industry analysts had estimated Tesla was selling more than 10,000 a year, but the final figure is 15,000 – out of a total market of 24,000. The nearest rival is the second-placed MG ZS at 1388.

Tesla now has about 62.5 per cent of the Australian market. In its home base of the US it has an estimated 56 per cent.

The new complete EV sale figures mean official numbers for Australia’s electric car sales numbers have tripled in 12 months – and certainly puts paid to the suggestion they have been going nowhere in recent times.

Bryce Gaton of electric car consultancy EVChoice said: “I don’t see Tesla’s dominance changing. In effect they’ve only been selling the Model 3 here in recent months and the demand is very impressive: across the EV sector the issue in our market is not demand, it’s supply and the lack of federal level public policy.”

It’s the second time in recent months the EV maker has upset assumptions – last year Tesla consistently rated as the most popular stock among Australian investors on offshore sharemarkets.

Gemma Dale, head of investor behaviour at nabtrade, has detailed how Tesla is more widely held than local giants Rio Tinto, Woodside or Woolworths, with the Nasdaq-listed stock sitting just outside the broker’s overall top 10 most popular stocks.

The new industry statistics also show the uptake of electric cars in regional markets, with Canberra punching above its weight with an estimated EV share of near 6 per cent in the capital, against a ­national average of 2.4 per cent.

Electric Vehicle Council chief executive Behyad Jafari used the release of the figures to again call for a nationwide EV policy, warning Australia risks being left behind in the uptake of electric cars.

“It’s great that some state governments have received the global message, but at a national level we’re stuck in the past,” he said.

“We desperately need the federal government to introduce EV rebates alongside fuel efficiency standards just like other developed nations.”

Despite evidence that Tesla at least is cracking the local car market, the EV sector continues to be treated sceptically by those who must travel long distances in rural areas, not to mention those who need their vehicles for towing.

“The range is getting better all the time, with some of the Teslas now competing with petrol cars in their category,” Mr Gaton said.

“As for the SUVs, it’s only a matter of time before the trucks being built by Ford and by EV specialist Rivian will offer that end of the market what they need.”