Investment Boost behind June bounce-back for

MEDIA RELEASE

3 July 2025

Investment Boost behind June bounce-back for new vehicle sales?

The Government’s Investment Boost initiative announced as part of the 2025 Budget is believed to be a key factor behind a resurgence in new vehicle sales during June.

A total of 11,862 new vehicles were registered during the month – the second-best month of 2025 so far. The figure represents an increase of some 26 percent on the 9,406 new vehicle sales registered in June 2024 and is an encouraging increase on the 10,251 new vehicle sales registered in May.

Registration numbers for new vehicle sales are compiled each month by the Motor Industry Association representing the country’s new vehicle manufacturers and suppliers.

Association CEO Aimee Wiley says the link between the June increase and the Investment Boost announced in May cannot be discounted as a factor in the latest figures.

“The June quarter ANZ Business Investment Survey showed central government policy as a key driver for firms planning to invest, and this likely refers to the Investment Boost announced in the May Budget.

“And a MYOB survey of more than 500 small and medium sized businesses in May put passenger vehicles including cars, vans and utes at the top of the list of new assets to purchase. Further analysis of the June numbers shows the lift has come from rental, business and private buyers alike.”

Breaking down the categories, cars and SUV’s totaled 8,245 registrations; compared with the 6,817 registered in May and a nearly 36% increase on 6,059 sales in June 2024.

Toyota’s RAV4 continued its lead in the new car market with 781 registrations, ahead of the Mitsubishi ASX with 482 sales and the Kia Seltos with 444 sales respectively. Tesla had a good month in June with a total of 407 sales of its possible newly launched Model Y registered to take fourth place.

Light commercial vehicle sales also performed strongly with 3,204 registrations, up from 2,753 sold in June 2024, and compared with 3,016 in May. The month was the best so far this year for this category, and the single best month in the last 14; since April 2024.

The Ford Ranger continued its lead in light commercials with 948 registrations, with the Toyota Hilux in second place with 853. The month saw a notable performance by the BYD Shark 6, taking third place with 413 sales.

In terms of motive power, June was an exceptional month for battery electric vehicles, notching up 1073 registrations: their best sales figures since the end of the Clean Car Discount in December 2023. Plug-in hybrids and hybrids also had a good month with 912 and 3152 registrations respectively.

However, the month was not so positive for the heavy commercial vehicle segment, at 413 registrations compared with 594 in June 2024, suggesting the Investment Boost is yet to have an impact on the country’s trucking fleet.

Key Industry Insights

Total Industry Registrations: June 2025

A total of 11,862 new vehicles were registered in June 2025.

This reflects:

A 25.9% increase (+2,439 units) compared to June 2024
A modest 1.6% decrease (–187 units) compared to June 2022, a more meaningful reference point given June 2023’s exceptional CCD policy-driven spike (23,560 units).
Positive early signs of stabilisation, with momentum building across light passenger and to a lesser extent light commercial segments.

While the heavy vehicle sector continues to lag, overall results suggest that confidence is returning to the new vehicle market, particularly among business and rental buyers, likely in response to recent government investment signals. These figures indicate early signs of the ‘green shoots’ we’ve all been looking for to prove the potential for early stages of market recovery.

Industry Breakdown

Industry by Buyer Type

Industry by Motive Power

Industry Consumer Trends

Retail Share by Marque and Model

Light Passenger Insights (including SUVs)

Registrations: June 2025

A total of 8,245 light passenger vehicles (LPVs) were registered in June, making the second-strongest

month so far this year.

This reflects:

A 35.9% increase (+2,178 units) compared to June 2024

An 11.1% lift (+744 units) above the year-to-date monthly average for 2025

Growth was led by rental and business fleet purchases, signalling early momentum.

The uplift likely reflects a response to the Government’s recent investment stimulus, with signs of renewed confidence and fleet renewal activity beginning to emerge.

Light Passenger by Buyer Type

Light Passenger by Motive Power

Light Passenger - Consumer Segmentation Trends

Top 10 Light Passenger by Marque and Model

Light Passenger Motive Power Insights: Top 5

Battery Electric Vehicles (BEVs):

Plug-in Hybrid Vehicles (PHEVs):

Hybrid Vehicle (HEVs):

Light Commercial Vehicle Insights

Registrations: June 2025

A total of 3,204 light commercial vehicles (LCVs) were registered in June.

This represents:

A 16.0% increase (+442 units) compared to June 2024

A 17.2% uplift (+471 units) over the 2025 year-to-date monthly average

The steady growth suggests improving confidence across trade and business sectors, supported by clearer economic signals and potential pre-emptive fleet investment.

Light Commercial - Buyer Type

Light Commercial - Motive Power

Light Commercial - Consumer Segmentation Trends

Top 10 Light Commercial - Marque and Model

Heavy Commercial Vehicle Insights

Registrations: June 2025

A total of 413 heavy commercial vehicles (HCVs) were registered in June.

This represents:

A 30.5% decline (–181 units) compared to June 2024

A 38.9% decline (–263 units) compared to June 2023

These figures reflect a continuing slowdown in the heavy commercial sector. With longer lead times between order and registration, any positive impact from the recent investment boost is expected to take time to materialise. The decline is likely driven by deferred fleet investment, ongoing economic uncertainty, and a cautious approach to capital expenditure.

Heavy Commercial - Buyer Type