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Corolla still on a high

Once again, Toyota Corolla is the best selling hatch in Australia.

According to Januarys' new car sales (VFACTS) figures, the Toyota Corolla is once again Australia's best selling car with 3843 sales for the month of January.

The Commodore came in second with 3210, while the Mazda3 stepped up to third position with 2915 sales.

This was the second month in a row that Corolla topped the ladder, beating Holden's Commodore in December by 418 sales.

While January proved to be a strong month for smaller cars and SUVs, the Federal Chambers of Automotive Industries chief executive Andrew McKellar says there is a diminishing demand for large vehicles.

“While overall sales are buoyant, the results reinforce the significant competitive challenges facing local manufacturers,” he says.

And as Mitsubishi yesterday announced it will be closing its Tonsley Park manufacturing plant in Adelaide, McKellar called for the Government's scheduled review of the automotive industry to be brought forward.

“The review must play a critical role in ensuring future policy arrangements provide an ongoing basis for a sustainable and competitive automotive manufacturing industry in Australia,” he says.

After more than one million sales last year, the car industry continued to grow with a 6.9 per cent increase over last January's sales. A total of 82,270 cars were sold during the month, passing last year's January record of 76,003. Toyota continues to lead the market, followed by Holden and then Ford.

While large cars sales are down, motorists are still enjoying SUVs, the segment rising by 23.4 per cent from the same time last year.