How China is cornering the future of cars in Australia, with the 2026 BYD Sealion 7, Zeekr 7X and Geely EX5 icing out Toyota bZ4X and Volkswagen ID.4

For the first time in Australia, electric cars are outselling diesel ones in what appears to be a major turning point for the Australian market.

The latest data, compiled from both the Federal Chamber of Automotive Industries (FCAI) and the Electric Vehicle Council, shows registrations of electric cars have more than doubled year-on-year, and now account for just under 20 per cent of Australia’s new car market.

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On top of this, skyrocketing fuel prices have clearly made many Australians think twice about committing to another combustion car, and the prospect of government incentives ending further down the track as outlined in the latest federal budget has no doubt only bolstered the latest figures.

Digging into the data and one thing becomes obvious - amongst the 10 best-selling EVs, all of them were built in China. 

In what should come as a warning to legacy automakers yet to embrace “China Speed” as part of their business model in our market, even the most successful models from Tesla and Kia are built in China.

This trend looks to continue, with Mazda the next brand to introduce Chinese joint-venture models via the Mazda 6e sedan and CX-6e SUV, both of which use Changan platforms. The Japanese giant will no doubt be betting heavily on these two models to reduce its market-leading projected fine under the new NVES rules.

Nissan will also begin to introduce its array of successful-in-China Dongfeng-based models in the coming years, with Suzuki, Toyota and Volkswagen potentially being left behind as they continue to source cars from more traditional manufacturing locations like Japan, Thailand and Europe.

May in particular was a bumper one, not just for market leader Tesla, but also for keen newcomers Jaecoo and Geely. BYD dominates nearly half of the top-10 charts, including the Atto 2 and Atto 1, which both arrived in 2026.

EV Sales May 2026

Rank	Model	Sales
1	Tesla Model Y	5605
2	Jaecoo J5	2126
3	Geely EX5	1814
4	BYD Sealion 7	1538
5	Zeekr 7X	966
6	Tesla Model 3	828
7	BYD Atto 2	778
8	BYD Atto 1	768
9	BYD Atto 3	627
10	BYD Seal	581

The year-to-date numbers paint a slightly different, but overall familiar story, with the Model Y managing to maintain its lead over the Sealion 7.

Some year-to-date surprises include Geely’s EX5 rising to third place and Jaecoo’s aggressively-priced J5 has largely captured the entry-level EV space.

Zeekr has had a huge year off the back of the launch of its 7X as it keeps up with its big order bank, and Kia has managed to hold onto 9th place with its relatively popular EV5.

The Tesla Model 3 is in seventh place and is the only sedan on the list.

EV sales year-to-date 2026

Rank	Model	Sales
1	Tesla Model Y	12,324
2	BYD Sealion 7	7786
3	Geely EX5	4453
4	Jaecoo J5	4017
5	Zeekr 7X	3664
6	BYD Atto 2	2919
7	Tesla Model 3	2594
8	BYD Atto 1	2383
9	Kia EV5	2379
10	BYD Atto 3	2375

It is hard to say what this chart will look like by the end of 2026, although the complete and ongoing re-shuffle of Australia’s favourite cars looks to continue. One thing is for sure though, China has the market well and truly cornered on fully electric cars in Australia.