Australia's record-breaking quarter for EV sales underscores the importance of retaining incentives and policies to sustain uptake and drive emissions down, the Electric Vehicle Council said.
Figures from the Australian Automobile Association show 41,146 new EVs were sold across the country in Q2 2025 which:
Includes 29,244 battery electric vehicles (BEV) and 11,902 plug-in hybrid electric vehicles (PHEV)
Represents 13.1% of all new car sales for the quarter
Is up 37% on Q2 2024 when 30,028 EVs were sold and represented 9.59% of sales.
"Australian drivers are discovering what early adopters already knew: electric vehicles are better for the family budget. They're great to drive, better for the environment, and cheaper to run," Electric Vehicle Council CEO Julie Delvecchio said.
"It's encouraging to see EV sales climb, but we're still in the early stages of the transition, and numbers remain well short of what's needed for a self-sustaining market. Electric vehicles need to make up at least 30 per cent of all new car sales in Australia before governments can responsibly consider withdrawing incentives or imposing taxes.
"These figures show good progress, but with the Productivity Commission calling for the removal of the FBT incentive and road user charges being discussed, this risks slamming the brakes on growth. These proposed changes will abruptly stall the shift to EVs, which benefit everyone through lower energy bills and cleaner air.
"Australia's strongest quarter for EV sales yet is a testament to the current federal policies and incentives fuelling this growth. The New Vehicle Efficiency Standard is giving Australians more choice than ever before in low- and zero-emission cars. Combined with the discount on EVs through the FBT exemption, more everyday Australians are making the switch - and once they go electric, they don't look back.
"Australia now offers electric vehicles for every lifestyle and preference - from utes and SUVs to sedans and hatchbacks.
"With transport set to become Australia's largest emissions source by 2030, it's essential to keep supporting and motivating Australians to choose electric vehicles.
"More electric vehicles on our roads benefit everyone - they cut emissions, improve air quality, create quieter streets, reduce Australia's reliance on foreign oil and help build a stronger energy grid. These collective benefits make electric vehicles essential for a more sustainable, healthier, and resilient future."
