2025 BMW X Models Reviews

Believe it or don’t we’re almost halfway through the year and that calls for a round up of the cars that have stood out to us in 2026.So, we’ve asked our fellow test pilots around the CarsGuide office which new car has impressed them the most so far. Here’s our half-year top 5, in no particular order.Honda PreludeHonda’s reborn Prelude sports car is a reminder of the magic this iconic Japanese company can perform at a time when new Chinese brands are drawing our eyes away.A rival to the Toyota GR 86, Nissan Z and Mazda MX-5 the Prelude arrived in May with a hybrid powertrain and a drive-away price of $65,000.Based on the Honda Civic, the Prelude has a 2.0-litre four cylinder engine and an electric motor. Combined output is 149kW.CarsGuide contributor Byron Mathioudakis attended the Australian launch.“Firstly, the performance on offer goes far beyond the sum of its published numbers," he said."Secondly, the fluency of the chassis to communicate with the road and driver makes this a true enthusiast’s car. And thirdly, this leaves us wanting more."Long after the sensual lines are out of sight, your mind’s eye keeps looking back, yearning to return to the driver’s seat. All for $65K drive-away, folks."BMW M2 CSBMW’s new M2 CS arrived in May this year loudly announcing that angry performance petrol cars were still well and truly a thing - and a beautiful thing, too.The Competition Sport version of the mighty little M2 takes that little beast's straight-six turbo and squeezes out more grunt - 390kW and 650Nm.The M2 CS has been one of Senior Journalist Chris Thompson’s favourite finds of 2026 so far.“Small enough to still feel like a nimble sports car but it won't bite your hand too hard," Thompson said."Plenty of power and a healthy torque band, but enough compliance in the chassis/suspension that it doesn't feel entirely like driving a race car. Looks fully siq in Velvet Blue Metallic with Gold Bronze wheels."Denza B5BYD’s luxury brand Denza brought its Toyota Prado rival to Australia this year starting at a list price of just less than $75K.Production Editor Jack Quick drove this large super hybrid SUV at its Aussie launch and had this to say:“It rights the BYD Shark 6’s wrongs in terms of off-road capability and has undeniable value with the amount of high-end touches it has. Plus it’s ridiculously fast. However, it’s not perfect as it’s very heavy and has a busy ride.” Kia EV4 GT-LineKia’s fully electric EV4 sedan arrived in Australia in January looking slipperier than an eel.There’s a single motor making 150kW and 283Nm driving the front wheels and you can have it in three grades with the starting list price being $49,990.Deputy Editor James Cleary drove the EV4 and nominated it as one of the cars that impressed him this year."Polarising contemporary Kia exterior design... but I like it,” he said.  “Snappy, user-friendly interior. Strong performance and useful range. A $65K price tag for this flagship is in line with BYD Seal but $10K steeper than comparable Mazda 6e.” BYD Shark 6The BYD Shark 6 was awarded CarsGuide's Best Ute of 2026 and now it has returned with a more powerful engine (a 2.0-litre turbo petrol four cylinder) in the Performance grade.The new and improved plug-in hybrid ute addressed what was lacking in an otherwise outstanding vehicle - towing ability. Braked towing capacity has increased from 2500kg to 3500kg in the Performance.Dual motors (one at the front and one at the rear) combined with the petrol e engine make an impressive 350kW and 700Nm. Carsguide contributor Stephen Ottley was at the launch and said:“For grey nomads and others who have previously ruled it out, the BYD Shark 6 might suddenly be back on more shortlists.”

The BMW 1 Series hatch is about to get a huge shake-up, with its new generation ditching pure petrol power from 2028.It will be only available with electric and hybrid set-ups as part of the brand's increased EV focus under the Neue Klasse philosophy, which has already spawned the iX3 SUV and i3 sedan.This likely signals a big price jump for the brand's cheapest model.Overseas reports suggest the car will be offered with plug-in hybrid and fully-electric set-ups, but other details remain light at this stage.This decision marks a direction change for BMW, after it was thought the brand would wind up production of entry-level cars such as the 1 Series. This mirrors a similar shift from rival German brand Mercedes-Benz, now backtracking from dropping its A-Class hatch.The 1 Series will continue to be a direct rival to the new A-Class when the pair launch in 2028.BMW’s Head of Product Bernd Korber said the 1 Series remained an important part of the brand’s lineup, and will attempt to broaden its target market with the new generation. "If you want to keep the brand young, if you want to develop customers within your portfolio, the 1 Series is very important,” Korber told AutoCar. It has not been confirmed at this stage whether the new BMW 1 Series will launch in Australia or whether it will arrive with the PHEV set-up as well as the electric one.BMW Australia said there was nothing to confirm yet about the new-generation 1 Series. The 1 Series is currently on sale in Australia in 1.5-litre and 2.0-litre petrol engines, producing up to 150kW and 300Nm. There is also a high-performance version of the car, producing 233kW and 400Nm.It is a modest seller for the brand down under, with the propped up X1 SUV a bigger hit with buyers. 

There's something newer and far more advanced on the horizon, but does the BMW i4 electric liftback still have enough appeal in 2026?

BMW’s performance M3 sedan is expected to achieve close on price parity between its electric and petrol variants.Electric vehicles generally still carry a hefty premium compared to internal combustion and hybrid models, but it looks like that could be all about to change.A report in UK publication AutoCar states the new electric M3 will be priced similarly to the petrol version of the car, following an interview with BMW’s sales director Sylvia Neubauer."The good news is that from a pricing perspective, they are in the same ballpark,” Neubauer told AutoCar.There is no news yet on what the price of the new M3 will be, but it is expected to exceed the current near $160K price tag in Europe, which will be closer to $200K in Australia.The electric M3 will offer 745kW from a quad electric motor set-up, which is significantly more than any M3 model currently on the market.It is even more powerful than the full-blooded 4.4-litre plug-in hybrid turbocharged V8 found in the bigger M5.It will be based on the recently-announced i3, getting a newly-designed platform from the brand’s ‘Neue Klasse’ revamp.The new petrol M3 will be a continuation of the current generation, utilising the same platform, but getting a new design under ‘Neue Klasse’.There are no details yet on the new generation M3’s future in Australia, but it can be speculated it might arrive later on in 2027, following its European launch. We should learn more about the new M3 in the fourth quarter of this year.Right now in Australia, the manual variant of the M3 starts from $169,100 (before on-road costs), with prices rising up to $253,900.There are several M3 variants currently on sale in Australia, which all use a 3.0-litre six-cylinder twin-turbo petrol engine, producing up to 405kW and 650Nm.

They say going to the movies has declined since the rise of larger home televisions. It seems if Mercedes-Benz has its way, we will soon be watching movies in the car instead.At least if the all-new C-Class EV interior is any guide to the brand’s future. While it’s still an optional choice, the new 39.1-inch MBUX Hyperscreen is one of the largest screens I’ve ever seen in a car. And it might be one of the worst design decisions I’ve ever seen Mercedes-Benz make.It shouldn’t come as a surprise that Mercedes has gone down this path. The German giant’s design leader, Gordon Wagener, is on the record with both his love of a large screen and his dislike of rival brands.In a rare on-the-record assessment of his rivals, Wagener told the UK’s Top Gear magazine at the 2025 Munich motor show that the new Audi Concept C interior had “too little tech” and looked like “it was designed in 1995” – which is a pretty generous critique of 1995-era technology and design.In the same interview he explained his decision to introduce larger and larger screens into new Mercedes models, because he believes that owners might want to “watch a movie and stuff like that.”The problem I have with this is two-fold. Firstly, it's not good design. I know that design is subjective, but objectively speaking, the new C-Class EV loses so much about what made Mercedes look and feel luxurious. The difference between Mercedes and mainstream brands was the quality and presentation inside the cabin. I haven’t sat in the just-revealed C-Class EV yet, but looking at the images it feels like it could be something produced by any of the new Chinese premium brands.Yes, there are still some nice premium trims and I’m sure it looks impressive, but for me it doesn’t immediately project a sense of class and sophistication that Mercedes is known for. Mercedes’ arch-rivals at BMW have taken a slightly different approach, its ‘neue klasse’ 3 Series and iX3 feature a combination of large multimedia touchscreen, in a conventional sense, with a narrower screen wrapping around almost the entire base of the windscreen. It’s a different kind of big, but it’s still big. Not to sound like an old person, but… back when I was younger and obsessed with cars, whenever I sat in a Mercedes, BMW or Audi, you could tangibly see and feel the difference between them and their competition. But that differentiation is getting harder to feel these days, as new brands without the heritage of Mercedes and company can simply go inch-for-inch in terms of screens.If you look at luxury houses, they do not fill every room with a huge television or make every room feel like a movie theatre. Good design is about moderation and restraint as much as anything. Secondly, and more importantly, we shouldn’t be ‘watching movies and stuff’ in the car. If you want to watch a movie, stay at home – or heck, go and watch it on an actual ‘big screen’ at the local cinema.Cars are for driving and safety should always remain both the car makers and the driver’s top priority. In case any of these designers have forgotten, cars are approximately two-tonnes of metal and glass that typically travel up to 100km/h. This isn’t an entertainment device, it’s transport. If you can’t go one car ride without watching a movie or having a screen in front of you, maybe you should see a doctor, not your local car dealer.Also, just a reminder in case anyone has forgotten, it is very much illegal to touch your smartphone with its 6-plus-inch screen, so why do the lawmakers not have any problem with these absurdly large screens that are becoming increasingly common – and increasingly distracting?To be fair to Mercedes, the German brand is alone in introducing ridiculously large screens. Instead, I blame Tesla.The American EV brand really kicked off this trend when it realised it could save costs – sorry, I mean create a minimalist interior design – by getting rid of as many buttons as possible and replacing them with a touchscreen.Rival brands saw the acceptance of this technology by consumers and didn’t need any more excuses to save money on buttons and dials. And, of course, like anything in the car industry, it soon became a… measuring competition… between the brands. And thus we find ourselves now in the era of the hyperscreen.The saviour, somewhat ironically, may actually be the Chinese government, which is mandating that car makers do include physical controls for key functionality, which is forcing a rethink from not just Chinese car makers but anyone who wants to sell cars in the world’s biggest market.While this won’t mean the end of the large screen, hopefully it will restrain future designs and reprioritise design, usability and safety.

BMW claims the facelift of its seventh-generation BMW 7 Series is the most comprehensive makeover ever undertaken in the 110 years since it was founded.Not that you can really tell in the flesh. Few will be likely to spot the under-the-radar tweaks when the 7 Series and its all-electric i7 counterpart land in Australia in the final three months of this year, but look closely and there are plenty of tell-tale signs.Easiest to spot are the split headlamps that now feature sparkly crystals in the upper elements. A revised front bumper, meanwhile, aims to maximise the Mercedes S-Class-rival's blocky monolithic look for extra road presence.It's a similar story for the striking glowing kidney grille and option of larger 22-inch wheels, plus the fresh new rear light bar and redesigned bumper. All contribute to ensuring the big BMW makes an equally sizeable statement.A new customisable welcome or farewell light sequence adds some theatre to the ownership experience but it's within where some of the biggest changes are found.Embracing BMW's latest Neue Klasse technology, the petrol and all-electric versions of the 7 Series now gain the firm's configurable Panoramic Vision full-width display that stretches from pillar to pillar along the leading edge of the windscreen.There's also a large 3D head-up display that eliminates the need to take your eyes off the road.Other new tech lifted from the all-new iX3 SUV and i3 sedan includes a large 17.9-inch touchscreen infotainment which integrates a dedicated passenger display for the first time.All the screens run BMW's next-generation X operating system.In the posh seats in the second row, the good news is the current car's full-width 31.3-inch cinema-grade touchscreen carries over and is improved with the facelift.There's now a camera and microphone for video conferencing, while the multiplex experience is enhanced by the addition of a fresh 36-speaker 4D Bowers & Wilkins sound system that has a Dolby Atmos capability.Airline-style executive seats remain available, while the German carmaker claims the first-class experience continues with an ambient light system that is said to provide its own immersive experience.Like before, both models come with automatic soft-close doors but now engineers have added more precise radar sensors, allowing for a smoother, more graceful ingress and egress.Both a panoramic sunroof and four-zone climate control are now standard in all markets.Beneath the skin, the major changes continue, especially if you choose the all-electric Mercedes EQS- and Genesis Electrified G80-rivalling i7.Thanks to a partnership with Croatian hypercar-maker Rimac, BMW has managed to shoehorn its most advanced sixth-gen battery tech into the i7.The all-new 112.5kWh power pack comprises of 4695 cylindrical lithium-ion cells that deliver 20 per cent more energy density than before, despite inhabiting the same space beneath the floor.Compared to the previous prismatic cells, which provided a range of up to 625km, the new i7 can now travel beyond 708km before it needs plugging in.That figure is some way off the incredible 926km range Mercedes boasts for its latest facelifted EQS, but it's worth pointing out the long-legged Benz produces less power (300kW) and is rear-wheel drive, compared to the punchier all-wheel-drive 335kW i7 50 xDrive.Unfortunately for BMW, even with all-wheel drive, the EQS goes further on a full charge than any i7 in the range, with even the fastest 430kW EQS580 4MATIC capable of driving up to 876km before needing to be plugged in versus the 707km the 400kW i7 60 xDrive and 650km the 500kW i7 M70 xDrive can travel.At least the latter flagship M70 blends its lesser range with a punchy 0-100km/h sprint of just 3.8 seconds.There's more bad news for the battery-powered 7 Series when it comes to charging.Lack of space meant there wasn't enough room to squeeze in the carmaker's most powerful 800-volt electrics that are used on both the smaller i3 sedan and iX3 SUV.The result is BMW and Rimac were only able to raise peak charging from 200kW to around 250kW – a long way off the EQS' 350kW peak rate.In the big Benz that translates into being able to add as much as 320km of range in little more than ten minutes, in the same time BMW owners will have only managed to squeeze in no more than 205km-worth of charge.A 10-80 per cent top-up, meanwhile, takes 29 minutes, although the German carmaker says the combination of optimised route planning and predictive heat management unlocks faster real-world charging.On the combustion side, there's a new entry 740 that gains 48-volt mild hybrid tech.The 740i-replacing electrified twin-turbo 3.0-litre inline six-cylinder musters an additional 14kW more power (294kW) but is no quicker from 0-100km/h (5.4 seconds) and is only fractionally less thirsty than before (7.7L/100km v 7.9L/100km).A 230kW 740d xDrive and a plug-in hybrid 750e and M760e both arrive later on in November 2026 but are uncertain for Australia.The most powerful M760e M Performance could prove an enticing proposition for limo buyers, combining 450kW/800Nm, a 0-100km/h dash of 4.2 seconds, and up to 80km of EV range, fuel use is commendably low at 3.5L/100km.Later on, a powerful V8-powered M Performance version will also follow, but there's still no sign of BMW M ever launching a full-fat M7. Instead, an overhauled Alpina variant will provide supercar levels of thrust with little compromise to comfort or refinement.New driverless tech includes a hands-free adaptive cruise control that works up to 130km/h and a new 'City Assistant' that uses AI and accurate digital mapping to support the driver in stress-inducing urban environments. A new remote parking aid is also available.Despite being locked in for a launch Down Under in Q4 of 2026, BMW Australia has yet to provide timings or pricing for the refreshed BMW 7 Series and the heavily updated i7.Currently, the luxury limo is priced from around $270,000 (plus on-road costs) for the entry 740i and around $300,000 (plus ORCs) for the battery-electric i7 flagship.

It was not so long ago plug-in hybrids looked to have found the middle ground between electrified power and long driving range. PHEV power experienced more growth than any other powertrain type in 2025 - and by some significant margin. It was up by more than 130 per cent compared to 2024.Leading the charge for PHEV power is the BYD Shark 6 ute, one of the few utes to experience sales growth last year. Its 1.5-litre turbo-petrol engine and dual electric motors provided outstanding fuel economy (when the battery was charged) capturing attention despite modest towing and carrying capacity. Most other brands have also jumped on the PHEV pathway, especially in the SUV segment. However, it now looks like a change might be on the horizon, as fully-electric sales continue to rise and at an even faster rate.There is a combination of factors likely contributing to this new set of circumstances in the new car sales space.While PHEVs offer incredible fuel efficiency, EVs do not need any fuel and obviously have far superior electric-only driving range with electric-only driving range remaining one of the biggest selling points for PHEVs. This is becoming an increasingly relevant point for buyers due to the current scarcity and cost of fuel in Australia.One of the other key factors which could erode PHEV sales is the substantial improvement in driving range of electric cars. Most EVs now offer more than 400km before needing to be charged, and even then charging times have also rapidly improved, with most brands targeting a 30 minute-or-less fast charge time compared to an hour previously.Charging infrastructure has been seeing rapid investment in Australia in the past 12 months, with governments as well as major brands getting on board. Just this week, the New South Wales government announced $45 million of funding towards new public fast chargers as part of its ‘2026 NSW Electric Vehicle Strategy’, and this adds to the existing federal ARENA public funding for EV infrastructure.BYD has also confirmed it will bring its ‘Flash’ charging to Australia this year, removing barriers to charge speed usually imposed by the grid thanks to an inclusion of a high-voltage buffer battery.There is also the question of increasing accessibility to electric vehicles in Australia, with many becoming available at a more affordable price point. The BYD Atto 1, for example, is available from $23,990, before on-road costs, while the cheapest PHEV, also a BYD, the Sealion 5 is $10,000 more. This is more reflective of the types of vehicles in which PHEV set-ups are offered as opposed to electric cars. The most common PHEV car body type is SUVs, which targets family buyers and more car (size-wise, with two powertrains instead of one) costs you more money.And yet, the models surging the most in the sales charts are the fully electric Tesla Model Y and Zeekr 7X, which are both in that core mid-size family buyer segment.This combined with the early adopter phase for much of this technology ending and electrified cars becoming more mainstream will mean some buyers who don't have access to home charging, like those who live in units, might not be able to utilise the key benefits of a PHEV.Many of this wider-audience may value the range on offer from an EV, which will see them charge only once or twice a week as a benefit at such a competitive price-point, not having to worry about not being able to charge at home, and not needing to fuel up altogether. This is also an audience which predominantly buys small or mid-size SUVs.PHEVs then, may be destined to be relegated to only larger vehicles, like utes and three-row SUVs where battery electrics become less cost competitive.

BMW has slashed the prices of its iX1 and iX2 electric SUVs in Australia.The iX1 will start from $77,900 (before on-road costs), while the iX2 will start from $79,900 (before on-road costs).There is a new variant of the iX1, which has a national drive-away price of $79,900.These prices mean both cars are now noticeably cheaper than they were. The previous iX1 started from $86,800 (before on-road costs) and the iX2 started from $87,600 (before on-road costs). This new variant of the iX1 comes with a ‘Sport Collection’ trim level, which includes features such as 19-inch alloy wheels and a white exterior paint. On the inside, there are synthetic leather seats, with the front ones heated, along with a head-up display. These deals make the iX1 and iX2 more price competitive with key rivals in the segment.The Volvo EX40, which recently picked up a price drop of its own, now starts from around the same drive-away price, although only for the single motor variant.Both BMW models are powered by dual electric motor set-up, producing 230kW and 494Nm. All models come as standard with an all-wheel drive system.  They also now come in substantially cheaper than the Mercedes-Benz EQA and Audi Q4 e-tron, which have starting prices of more than $80,000.One of the main changes on the iX1 and iX2 is hardware updates, which BMW said has enhanced power density and battery range. Official driving range for the new iX1 and iX2 have not been revealed just yet, but expect minor improvements on 464km and 395km, respectively as WLTP standards. The current generation of the pair can charge from 10-80 per cent in less than half an hour.The iX1 continues to be an important part of BMW’s EV range, claiming its best-seller status for the past few years. The iX2 has also been a good EV seller for the brand.BMW's X1 range (including the iX1) won the CarsGuide Car of the Year 2026 award for the small car sub-$80K.2026 BMW iX1 and iX2 pricing Australia 

In the current economic climate, a small car that can only comfortably fit two adults and gets 11.4L/100km on a test drive seems utterly unsensible.But the 2026 BMW M2 CS was never meant to be sensible, was it? Even in the stable of bonkers BMW M cars, the M2 CS is arguably the one that most fits into the category of ‘fun over function’.The M3 has four doors, the M4 has more space and the M5 is half-EV these days. And while the M2 is silly fun, the M2 CS is serious fun.The 353kW of the regular M2 becomes an intimidating 390kW when adorned with the extra two letters, standing for Competition Sport by the way, and paired with 650Nm the two-door rear-driver is capable of a 0-100km/h sprint in a claimed 3.8 seconds. That thrust goes on to 302km/h, if you’re brave enough to find out, rather than just 250km/h.This is all, of course, thanks to a twin-turbo 3.0-litre six-cylinder engine, code S58 in the M2’s case. BMW hasn’t given up the in-line six game just yet.It runs power to the rears via an eight-speed automatic transmission, which is unfortunately the only transmission available in the CS. The standard M2 has the option of a six-speed manual, but the ol’ DIY shifter apparently isn’t up to the extra 100Nm of torque the CS’s engine is putting out. Even the auto ‘standard’ M2 gets 600Nm, splitting the difference.More changes to the M2, then, come in the form of a set of staggered gold wheels - 19-inch by 9.5-inch fronts and 20-inch by 10.5-inch rears. The ducktail boot lid is a much-appreciated touch for some more flair. And at the other end the vents and an effectively open kidney ‘grille’ mean a wayward rock could probably do some nasty work on the cooling system.A carbon-fibre roof and bonnet go some way to helping lower not only the weight, but also the centre of gravity, with the CS coming in at a 1775kg kerb weight compared to 1805kg in for standard M2. The CS is also slightly longer (by 7.0mm) and its suspension slightly lower (by 8.0mm) according to BMW’s specs.Inside, the CS affords you less than you might want in the way of comfort if this is to be your main mode of transport. No proper central armrest along with extremely bolstered, rigid carbon sports seats (with leg mouldings) and no real storage save for a phone charging pad or the bottle holders in the doors mean the M2 CS doesn’t quite work as a daily drive.All this means an extra $44,800 at the dealership, for a price tag of $172,900, before on-road costs. Carbon fibre and extra power ain’t cheap, unless there’s also something special about those CS badges…Oh, and our test car is fitted with carbon ceramic brakes, so there goes an additional $19,000.It’s a price that demands as much attention as the CS does to look at, especially in this 'BMW Individual Velvet Blue Metallic' paint over those 'Gold Bronze' wheels. But is it as special from behind the other important wheel?Peak power comes in at 6250rpm, while the optimum torque band is between 2750 and 5730rpm. It means for most of the time you’re not short of nudge, and even if you’re already making expeditious progress along your road of choice, there’s almost always more pace at hand through most of the rev range.While it might feel a shame there’s no manual option, you’ll quickly find yourself engaged enough without involving a third pedal. Of the many settings available to toy with, something that’s easy to adjust is the aggression of the transmission thanks to the 'Steptronic' button on the shifter. Using the paddles, or using the shifter itself if you want to feel a little more manual, is almost always my preferred method to letting the automatic decide for itself, but in the right settings the CS’s eight-speed does fine on its own.Even in too-high a gear, the sheer torque available means the 1775kg coupe bursts out of corners with plenty of aggression, though the CS’s manners don’t leave you feeling intimidated.While small BMWs of the past have been lairy, wicked little things - the 1M had a reputation for being quite persistent about trying to leave the road - the M2 CS’s bite isn’t directed at the hand that steers it.On capable Michelin Pilot Sport 4S tyres, which suit road driving better than stickier Cup tyres that hate a damp surface, the M2 CS provides plenty of accurate feedback and reacts receptively to inputs in a manner that belie the way the thing looks and sounds.In its most aggressive settings before you start getting into track modes and safety-off areas, the M2 doesn’t even wag its tail through corners where you might have expected the previous generation car to. And even though its suspension is stiff there’s enough give to let the driver sense the limits of mechanical grip.While the CS exudes ‘playful puppy’ energy, the true attitude of the car is well-trained. If you wanted the M2 CS to really let loose, you could make it happen, but it’s not likely to happen by accident if you’re half-capable behind the wheel.The carbon ceramic brakes fitted to this test car also mean pulling up quickly in an emergency without needing to worry if the brakes have faded from previous hard driving, though in most cases on the road they’re probably overkill.The steering feedback is succinct, and while there’s more road surface information communicated through the seat that you might want from a daily driver, the combination in concert with the front wheels means you’re rarely guessing how to attack a corner.On that, the M2 CS is arguably more comfortable than you’d expect, but for the vast majority of people it would be optimistic to think of this car as suitable day-to-day transport. I’m 31, don’t have bad joints, and have spent most of my career in sports cars, and I reckon I would get a bit tired of the feeling of these seats after a couple of months. If someone says otherwise, they didn’t spend enough time living with it.

There is good news for those wanting to splash out on a new luxury car.The Australian government has signed a Free Trade Agreement with the European Union that removes the five per cent import tariff that was slugged on all vehicles built on the continent.Australia has not removed the Luxury Car Tax (LCT), which was believed to be a big part of the drawn out negotiations, but it has sweetened the deal for European-soured EVs.The LCT on European cars has been raised to $120,000, up from roughly $91,000.These two measures will slash thousands off the price of some electric cars, with the coming BMW iX3 likely to be about $10,000 cheaper than expected.There has been no movement on the LCT for petrol, hybrid or diesel powered vehicles, with those machines hit with the 33 per cent tax on every dollar over the roughly $80,000 threshold.These measures could entice other carmakers to bring their electric cars to Australia, which may have previously been considered too expensive.Head of the Federal Chamber of Automotive Industries Tony Weber said this was a win for Australian new car buyers.“The removal of the tariff is a positive outcome for Australian consumers and brings European vehicles in line with those imported from other major markets such as China, Japan, Korea and Thailand,” said Weber.Weber called for the removal of the LCT altogether.“The change to the Luxury Car Tax is incremental and leaves in place an outdated measure that no longer reflects the structure of the Australian automotive market.“Luxury car taxes were first introduced in Australia nearly 40 years ago to protect a domestic manufacturing industry which no longer exists. It serves no clear purpose other than raising revenue and continues to impose unnecessary costs on consumers,” said Weber.