Articles by Chris Thompson

After more than a few months of dissent from industry voices regarding the new emissions laws brought about by the New Vehicle Efficiency Standard (NVES), one senior executive from Australia’s most popular new car brand says it’s time to ‘get on with it’.Toyota Australia Vice President of Sales, Marketing and Franchise Operations Sean Hanley says the effects of the NVES, which increasingly penalises brands for selling more polluting cars year-on-year, says the effects of the rules won’t be seen in showrooms until the end of the decade.The initial stages of the NVES are already in effect, with brands incentivised via credits to sell cars that produce lower emissions, and given penalties for cars that produce more CO2.For Toyota, that means one of its most popular models, the HiLux ute, is in the firing line along with big off-road SUVs like the LandCruiser and smaller Prado.But Hanley says it’s not the end of the world. Just because cars like the HiLux are popular now, that doesn’t mean they’ll always be.“You'd be shocked, but not all customers who drive utes need utes, right?” Hanley told CarsGuide.“And they may say, ‘well, in actual fact, as a company, I probably don't need to be driving that Prado, I could probably do this in a RAV’, for example.“So, you've just got to narrow down in the future to customer requirements. What does the customer want? Because as you navigate new vehicle efficiency standards, decarbonization, regardless of what market you're in, you have to decarbonize. You just have to. That's not a debate.“That's why, when people ask about new vehicle efficiency standards, my standard answer is we support new vehicle efficiency standards. The targets are tough. They're real tough, but we support the notion, because you have to. It's not a choice.”Toyota’s hybrid SUV mentioned by Hanley, the RAV4, is also amongst the most popular cars sold in Australia, though even its current generation will need to lower its emissions over the years to meet NVES requirements.We asked Hanley when he thinks the impacts of the NVES will be generally seen in the Australian market - significant changes to model line-ups and pricing.“2029, ‘30,” Hanley says, “2029 is a long way away, right?”“So any commentary around NVES right now, it's just speculation, to be quite honest.“I mean, we accept the notion of an NVES, but we're not hiding from the fact that the targets are extremely challenging. They're hard, but in reality, you've got time.”By 2030, Hanley said he expects to see a much higher percentage of hybrid electric cars in the market, as well as plug-in hybrid making up a more significant share of new car sales, but importantly he says BEVs will more steadily approach the eventual market share they’ll rest at.“Despite popular opinion, Toyota is actually saying Toyota EVs will grow over the next four, five years.“Probably thinking around 30 per cent would be where I see it . But give or take, it could go to 40 right?“That would be the top end, but it certainly will be more than 10 per cent you've seen or the less than 10 per cent you see today.”In any case, Hanley expects global product offerings to change enough that the NVES limitations won’t negatively impact the Australian market as much as expected by the time they become much harsher.“Product portfolios will change dramatically between now and 2029 so anything that people are speaking about NVES really, it's just speculative stuff.“It's here. Get on with it. We've now got to work within the frameworks of what we know today and get on with it," he said.

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