EV Sales in Australia Decline as Recalls Are Issued for Electric Vehicles
EV sales in Australia saw a significant decline of 15.6 percent in August 2024 compared to the same month in 2023. This decline comes as more than 1,000 electric vehicles (EVs) have been recalled in Australia due to a battery software issue that could potentially lead to a fire. The Federal Transport Department issued a recall notice for 1,408 MINI Cooper SEs from 2020 to 2023, warning that defects in the battery software could result in a blaze while the driver is in the car. The notice emphasized the potential risks to vehicle occupants, other road users, and property.
To address the issue, consumers were advised to contact their preferred authorized MINI dealer for a software update at no cost. The updated software includes a diagnostic function that can detect battery malfunctions and discharge the high-voltage battery to eliminate the risk of fire. It is crucial for all affected vehicles to undergo this urgent software update.
The MINI Cooper SE, with a battery capacity of 54.2-kilowatt hours, offers a travel range between 300 to 400 kilometers. The lithium-ion high-voltage battery is strategically installed in the floor of the all-electric MINI Cooper to optimize road holding, weight distribution, stability, and agility. MINI, owned by BMW Group Australia, is a subsidiary of the global luxury vehicle manufacturer, BMW Group, based in Germany.
In addition to the MINI Cooper SE recall, other recalls have been issued in September. More than 2,000 Hyundai Santa Fe MX5 2024 hybrid vehicles were recalled due to a manufacturing issue affecting airbag deployment. The alert highlighted the potential risk of injury or death to vehicle occupants if the airbag does not deploy as intended. Furthermore, 166 American Special RAM 1500 DT 2023 and 2024 pickup trucks were recalled due to a manufacturing problem that could prevent the driver’s airbag from deploying properly.
While EV sales in Australia have declined, hybrid sales have nearly doubled in August 2024 compared to the same month in 2023, with 11,500 vehicles sold. This increase in hybrid sales indicates that consumers are still embracing low-emission vehicles. SUVs and light commercial vehicles continue to dominate the market, representing 80 percent of all vehicles sold.
Tony Weber, the chief executive of the Federal Chamber of Automotive Industries, acknowledged the disappointing sales of battery electric vehicles despite the increased supply and variety of EV models in the Australian market. However, he highlighted the positive trend of rising hybrid and plug-in hybrid vehicle sales, which were up 44.9 percent and 119.8 percent, respectively, in August 2024 compared to August 2023.
Overall, Australia recorded 98,328 new vehicle sales in August 2024, making it the second-best August result on record. Despite a 10.6 percent decrease compared to 2023, this result is seen as a positive sign of resilience in the new car market amid cost-of-living pressures and fluctuating interest rates.
In terms of brand popularity, Toyota remained the leading brand in August 2024, followed by Ford and Mazda. This indicates that these brands have successfully maintained their market presence and appeal to Australian consumers.