Five car brands most under pressure: Subaru, Mitsubishi, Nissan and others are feeling the impact of Australia’s intensely competitive market

Some of Australia’s most famous car brands are starting to come under significant sales pressure as Chinese brands win over local customers.

According to the latest sales data that covers until the end of May, the biggest movers up the sales charts are the Chinese brands. BYD is up 120 per cent, Chery is up 84 per cent, GWM is up 23 per cent and Geely is up a remarkable 629 per cent.

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Nissan - down 32.8%

The Japanese brand has slipped outside the top 10 sellers and it’s hard to pinpoint a particular reason. Nissan is down across its entire line-up, with even its stalwart X-Trail taking a 15.3 per cent sales hit in the first five months of the year.

It certainly hasn’t helped that the company has dropped once-popular models, the Juke and Pathfinder, but both were already struggling to find an audience.

The arrival of the new Navara may help to pick things up in the second half of the year, while the long-anticipated new-generation Patrol cannot come soon enough. The brand is also pinning a bounce back on a range of new hybrid ‘e-Power’ models due in the near-future to revitalise its line-up. 

Mitsubishi - down 26.4%

In many respects this is an unsurprising result given Mitsubishi culled much of its line-up in 2025, dropping the Pajero Sport and Eclipse Cross, while also changing over to a new-generation ASX.

The problem is that aside from the Triton ute, every other model in the current range is in sales decline so far this year. The ASX was the brand’s key model for years, offering an affordable small SUV option to many buyers. But the new, Renault-based ASX is simply failing to have the same results, likely because affordable, small SUVs are a key area of success for the Chinese brands.

Mitsubishi has sold just 695 ASX in the first five months of the year, while BYD has sold 2919 Atto 2, Jaecoo has moved 4017 J5 and Chery has found 11,309 buyers - so it’s clear what has hurt the Japanese brands sales.

The good news for Mitsubishi is that one of its most beloved models is making a return. An all-new Pajero is set to go on sale by the end of the year and could be a much-needed boost for the brand.

Subaru - down 22.1%

It was always going to be a tricky period for Subaru, with its two most popular models (Forester and Outback) being replaced within a 12 month period. However, the Forester has been on sale for nearly a year, so the 8.4 per cent sales decline in 2026 is concerning, while the Outback has been met with mixed reviews for its radically different styling.

While there is no quantifiable evidence that Subaru is losing buyers to the Chinese brands, looking at the Forester’s mid-size SUV segment it’s clear that Australian buyers have been won over by what the newer brands are offering. The Forester sits behind the BYD Sealion 7 and GWM Haval H6, while the Chery Tiggo Pro 7 and Geely EX5 are closing in. Add to that the arrival of a new Toyota RAV4 and the continued popularity of the Hyundai Tucson and Kia Sportage and it makes for a tough challenge for the Forester.

Outback sales are off to a relatively slow start, despite the introduction of the more rugged Wilderness variant, but the competition in the large SUV segment is not easy either, with a diverse group that includes the Toyota Prado, Hyundai Santa Fe and BYD Sealion 8.

Subaru will be hoping its new all-electric Uncharted and Trailseeker can make an impact and capitalise on the current demand for EVs, while there is a chance both Forester and Outback sales could pick-up in the second half of the year.

Suzuki - down 22.0%

The key problem for Suzuki is its legacy is also built on offering affordable small models, so the arrival of so many Chinese brands offering similar (or better) products for similar (or less) money has made life hard for the brand.

Sales are down across the board, with even its stalwart Jimny taking a 12 per cent hit in the first five months of the year. The arrival of the new Fronx has helped add new sales, but with so much decline it hasn’t helped the brand’s ultimate sales numbers.

Suzuki is hoping that the Jimny Rhino, a new special edition of its beloved compact off-roader can help boost interest. But it will need more than that to reverse its current sales situation, which will be difficult as the competition is only going to get more intense.

Volkswagen - down 17.0%

It has been a mixed performance for the German brand so far in 2026. Overall sales are down and there have been big drops for some key models, but there has also been some important sales growth.

The bad news is the Amarok ute has dropped more than 33 per cent, while its core SUV line-up has also been hit, with the T-Roc down 55.9 per cent, the T-Cross down 49 per cent and the Tiguan down 13 per cent.

The good news is the brand is getting some traction with its electric offerings and its updated commercial vehicle line-up. Sales of the ID.4 are up over 455 per cent (only 171 sales behind the Tiguan), the ID.5 is also more popular as is the ID.Buzz van. 

The new Crafter (up 277%), new Transporter (up 78.1%) and the ID.Buzz Cargo (up 33.7%) are all enjoying a successful start to the year.

But VW will need to get the Tiguan and Tayron really firing in the second half of the year - which is possible with the arrival of new hybrid options) if they don’t want to finish in its current position.