Geely News

The numbers for October 2026 are in, and electric vehicles have officially outsold utes, marking a change in climate for the Australian new car market. A total of 24,845 electric vehicles were sold in October, eclipsing the total ute segment, which accounted for 19,431 units across 4x2, 4x4 and those costing in excess of $100,000. Of those 19,431 utes sold, 327 of them were also fully electric, up 330 per cent from the prior year. There were 6040 electric cars and 19,478 electric SUVs sold in the same period. Electric is now the leading fuel type for cars, and the second best selling fuel type for SUVs after petrol. Electric vehicles are the second best selling fuel type in October, even eclipsing petrol and hybrids for the month, landing within 1000 units of diesel. Year-to-date the Australian market has eclipsed 1 million units, with nearly 1/3rd of them still being petrol (293,298 units) and over a quarter being diesel (258,361 units). Electric vehicles so far account for 205,436 sales, but the fuel type has grown over 175 per cent for the year, where diesel has fallen 16.3 per cent and petrol has fallen 27.6 per cent. The biggest winners in October for electric cars are the Tesla Model Y (3105 units), BYD Sealion 7 (2524 units), Geely EX5 (1789 units) and Zeekr’s 7X (1441 units). Other popular options in the market include the Geely EX2 hatchback (1350 units), Jaecoo J5 EV (1117 units) and Tesla’s Model 3 (945 units). Meanwhile the ute segment is in the midst of a downturn after years of record popularity. Winners for October include the HiLux (5954 units), Ford Ranger (4841 units), BYD Shark 6 (1843 units), Isuzu D-Max (1599 units) and Mitsubishi Triton (1056 units). In total (including 4x4 and 4x2 models) the segment is down 11.42 per cent to 176,240 units from nearly 200,000 units this time last year. The numbers make sense. Diesel has been hit particularly hard by the impact of the war in Iran, which has caused a 94 cent price rise per litre from this time last year. The average price per litre for diesel in Australia is now $2.63, a 55.6 per cent increase on the year prior. This is due to inelastic demand for the fuel type, with private and small business utes competing with the wider commercial sector for the fuel. Meanwhile petrol is currently averaging $2.35 per litre, a more modest 72 cent increase from this time last year. According to the Centre for Research on Energy and Clean Air, this means Australians, on average, are paying $546 more per year for fuel than they were in 2025. Combine this with the government’s current FBT exemption program and New Vehicle Efficiency Standard (NVES) forcing an influx of pure electric options to the market, and it’s a potent cocktail for automakers with competitive electric car line-ups. This has benefitted Tesla and newer Chinese brands, which largely have managed to meet the market with hybrid and fully electric vehicles that are at or near price parity with their combustion counterparts from so-called ‘legacy’ brands. A prime example is BYD’s fully electric Atto 1 city car becoming Australia’s most affordable new car earlier this year. For the ute segment specifically, BYD’s PHEV-only Shark 6 and GWM’s Cannon and Cannon Alpha which offer PHEV variants have received significant buyer attention, up 1.6 and 9.2 per cent respectively in a market which has otherwise significantly shrunk.

Australia’s new car market is at a “crisis point”, according to the Australian Automotive Dealer Association (AADA).  The AADA has warned dealers are losing money due to the influx of new car brands. AADA Chief Executive Officer James Voortman said Australia needs to stop letting new car brands launch here. “Dealers are facing intense competition, relentless pressure to take more stock and rising business costs. Too often, they are left to absorb the financial consequences of decisions made elsewhere in the supply chain,” Voortman said.  “There are simply too many manufacturers operating in this market and we need a pause on further car brands entering this market. At a time when other countries are trying to slow the rate of change and number of brands, Australia is allowing unfettered access to this market.” New car brands continue to launch in Australia, growing from 39 in 2021 to 67 in 2026, with more on the way in the coming months.  AADA has set out a 10-point plan, with recommendations for the government, suppliers and manufacturers.  The association wants the government to consider a capped licensing regime and pause the entry of any new brands into Australia.  It has called for the implementation of proposed dealer protections to be fast-tracked and liability of Australian Consumer Law breaches to be repositioned onto manufacturers, with new brand entries paused until this has been achieved.  It also wants at least a 12-month price freeze to guard against “severe pressure” on dealer profitability.  Among the changes for manufacturers is the agreement of realistic sales targets, allowing dealers to decline excess stock without facing commercial penalties.  AADA has previously raised concerns around long car repair and refund wait times in Australia as well as a "wave of litigation" when EV batteries need replacement outside of warranty. Australia’s market provides a near-perfect environment for new car brands to launch, because they are not subjected to major tariffs or prohibitive fees. It’s seen brands from around the world, especially China, flood into Aussie showrooms offering buyers very competitive prices.  Many Chinese brands operate with extensive sub-brand networks. There could be as many as nine Chery sub-brands in Australia by the end of 2027, while BYD and GWM also continue to actively add to their line-ups. These brands have capacity to produce copious amounts of stock, but selling them isn’t as simple a task, according to Voortman.  “Pushing excessive stock onto dealers is fuelling a race to the bottom. Aggressive discounting erodes margins and devalues vehicles while dealers carry the financing costs and risk of unsold vehicles,” Voortman said. “Strong headline vehicle sales can conceal serious financial distress at the businesses making those sales. Dealers cannot keep absorbing higher costs, lower margins and greater stock risk indefinitely.” This news follows reports that some Chinese brands are losing money on cars sold. Hyundai Australia Chief Executive Officer and President Don Romano told CarsGuide in July 2026 BYD’s approach to the Australian market wasn’t sustainable.  "I think if I were to lose money and dump cars, and if my stock price was down 40 per cent, I could do the same," Romano said.  "I think there's a big difference between growth at any cost and growth organically, so I'm not surprised. I would be if it was sustainable.”

Toyota flexes its muscles as it dominates the top of the sales charts in October. Australians bought a little more than 100,000 new cars in the past month, but one in five of them wore a Toyota badge. The Toyota HiLux was the best selling vehicle with 5954 examples finding a new home and the RAV4 was the third best seller with 4718 registrations. These two bookended the Ford Ranger (4841). Tesla Model Y was the best of the rest with 3105, followed by the electric BYD Sealion 7 (2524), Toyota Prado (2397), Chery Tiggo 4 (2178), BYD Atto 2 (1943), BYD Shark 6 (1843) and Geely EX5 (1789). Toyota is still the dominant force in Australian new cars, but there is no other Japanese or Korean model in the top 10 sellers list. Outside of Tesla, the rest of the top 10 were Chinese brands, with BYD mimicking Toyota with three entrants in Australia’s favourite new car list. BYD sold more than 10,000 vehicles in the past month, which was a feat usually reserved for Mazda or Ford at their peak. The October sales also showed Australia’s love affair with utes and SUVs was stronger than ever, with those two body shapes making up the entirety of the top 10 list. China also maintained its top position as the biggest source of new cars in Australia. More than 35 per cent of all new cars sold were imported from China, followed by Japan (22.3 per cent), Thailand (17.9 per cent) and South Korea (9.2 per cent). Almost one in four new cars sold in October was electric, which is about three times higher than it was in the same month last year. The Federal Chamber of Automotive Industries boss Tony Weber said electric car sales were driven by high fuel prices and government subsidies such as the FBT tax exemption. “Consumers are making rational choices and are attracted to options that reduce their costs. Despite continuing pressure on household budgets and higher borrowing costs in 2026, the October result shows there is extraordinary resilience in new vehicle demand," said Weber. “This increase in new vehicle demand, especially BEVs, must be supported by reliable and accessible charging infrastructure that keeps pace with demand.”

Many Aussie have bought their first ever EV in 2026 and it’s changed the new car market forever. The Iran war's impact on fuel prices is often put forward as a key reason why more people than ever are making the electric car switch, but that's not the full story. Ed Harvey, Founder and Chief Executive Officer of Australasian home EV charger manufacturer Evnex, told CarsGuide it was fuel security that started to sway buyers. “It flipped the argument,” Harvey said. “The fuel prices have not just really strengthened the cost-saving argument, but also I think it's the first time that people really started talking about energy security or transport security.” Range anxiety has put many buyers off EVs.  It combines a fear of running out of charge with having nowhere to charge it. Harvey said the fuel crisis brought about by the Iran war and the closing of the integral Strait of Hormuz in March 2026 started to change buyer perception. Buyers can now save as much as $3600 a year in just fuel costs by making the EV switch, according to Evnex's research, but Harvey said fuel security also started to cause anxiety with panic fuel buying leading to localised shortages. The federal government relaxed fuel standards and released reserves, while launching a $20 million “Every little bit helps” fuel conservation advertising campaign. Harvey said it was fuel availability not fuel prices that "flipped the script" for many buyers. Drivers worried about where they could fill up as opposed to where they could charge up, for the first time. “I think that really changed how people thought about energy security and our reliance on imported fossil fuels,” Harvey said. “I knew some people with petrol or diesel vehicles that were asking friends to borrow electric vehicles for the holiday period because they were nervous they might not be able to get where they needed to go.” BYD Australia’s Chief Operating Officer Stephen Collins told CarsGuide higher fuel prices and fuel shortages contributed to exponential EV uptake earlier in 2026. Collins described the early stages of the fuel crisis period as a “pivotal point” and an “unprecedented time”. “That March, early April period - I think it was genuinely only a four-week period where we saw a big spike in orders,” Collins said. “I think there were a lot of people that were on the cusp of buying an EV and that tipped a lot of people into ‘I’ll just make the decision now’. “It was a pretty tumultuous time, so I think there’s some truth to that.” The Electric Vehicle Council’s (EVC) 2026 ‘State of EVs’ report found buyers purchased one EV every 100 seconds in the first half of 2026. Electric and plug-in hybrid vehicle sales contributed to more than a quarter of all new car sales in the first half of the year, compared to roughly one in every 10 in the first half of 2025. Where there are competitive EV choices, buyers are making the switch, such as the mid-size SUV segment. The BYD Sealion 7, Geely EX5 and Tesla Model Y have consistently featured among the best-selling cars in Australia in 2026, and have experienced unprecedented growth. There hasn’t been the same growth in some other large segments of the market, and this is because competitive EV choices are still emerging, according to Electric Vehicle Council Chair and Origin Energy E-mobility GM Chau Le. “In each of these segments, EVs are becoming competitive, but we're not quite there yet in some of the segments,” Le told CarsGuide. “We're still a bit out, but with more EV models coming in and improvement in battery technology, it's only a matter of time until we're competitive across all segments.” There are no electrified utes that reach the balance of affordability, capability and driveability that their diesel counterparts have yet. Diesel-powered utes like the Ford Ranger and Toyota HiLux continue to be a significant component of the new car market. Once competitive electric ute choices emerge, the ute segment will likely follow a similar transformation to the rest of the new car market. New car buyers' priorities have shifted permanently, and there's nothing fuel prices or supplies can do to change it.

China has revolutionised new cars and it is only the beginning. The China Society of Automotive Engineers has come together to show carmakers and third-party suppliers aren’t sitting on their laurels and are planning a big 2027. These are the trends and tech to revolutionise it all again in 2027, according to the gaggle of engineers. This game-changing technology is becoming a reality. The futuristic cells are entering the pilot production stage with an energy density of 400Wh/kg, which is more than double that of conventional electric car batteries. Solid-state batteries are said to be more energy dense, less fire prone and faster to charge than current batteries. This means range can be doubled, or carmakers can use batteries half the size for the same driving range as current EVs. This will allow for lighter, more efficient EVs and will make electric utes, 4WDs and sports cars more palatable.  Nearly every carmaker and battery supplier on the planet is working on this. Watch this space. Harnessing the stored energy inside a car’s battery to power homes and neighbourhoods during times of high power demand and emergencies is the holy grail of EV capabilities. This technology isn’t just being trialled in China, but is also being tested in Australia where is is arguably more valuable. V2G when paired with solar can effectively allow owners to live off the grid and to earn money by sending power back to the grid during peak times. The infrastructure is what is holding it up, the majority of electric cars are not yet set up to handle V2G and it can void the warranty if owners try to use the tech now. Chinese carmakers such as BYD, Geely, MG and others are trialling die-casting using a magnesium alloy which is lighter, stronger and better at reducing vibration than current materials. The die-casting method will make for more affordable construction methods thanks to reduced components, while the material will make EVs more efficient and pleasant to drive via increased structural rigidity and reduction of NVH. This new tech could revolutionise mining operations with a group of trucks following a prescribed route - from the mine to port for example - with one elad vehicle and several following it along major roads. This helps reduce the cost of freight, improve safety and reduce fuel use due to the following vehicles benefitting from reduced drag. 3D printing is common, but an emerging tech is 3D printing using metal. It can be used to make vehicle structures and complex single-piece mouldings. There are numerous constraints currently with the technology, but it has the potential to reduce weight from fewer parts used. It can improve strength, durability and crash safety performance by creating a stiffer structure with fewer welds. The engineers society believe there will be significant breakthroughs next year. Low-cost metal powders are expected to be used as building materials, plus layer thickness to make sturdier structures and improved printing performance. This works by cars and infrastructure all talking to each other to help make collaborative scenarios.  This can help improve road safety with advanced identification of hazards and reduced crash scenarios. It can also help reduce traffic with traffic lights prioritising the flow of traffic in real time rather than on set parameters. It also allows for better pedestrian safety with the cars able to effectively see around corners and other blind spots thanks to integration with static infrastructure and public cameras.

BYD has smashed through a sales milestone. The brand said it has made more than 50 per cent of its total revenue from export markets, rather than from its domestic sales in the Chinese market. This is due to BYD’s efforts in the last several years growing both its exports and its overseas manufacturing efforts in order to escape a stagnant Chinese new car market, which has contracted after a long period of explosive growth. The brand’s sales in China declined by 12 per cent, but it grew its exports by a whopping 137 per cent, to well over half a million units, according to BYD’s third quarter numbers for 2026. The Chinese market has reached a level of saturation and stagnation after several years of a bruising price war, which many competitors have pointed the finger at BYD’s aggressive domestic pricing strategy, overseas markets have become a crucial battleground for their future growth aspirations. Profit margins on vehicles sold in Australia, Europe and South America are exponentially higher than cars sold domestically in China. This is part of the reason sticker prices in the Chinese market are significantly lower than those we see in other markets. Price tags for the Australian vehicles generally attract a 15 - 20 per cent premium over the equivalent spec offered in China. Part of this will be down to right-hand drive conversion costs, and higher compliance costs for vehicles to meet Australia’s notoriously strict design standards and high bar for a maximum five-star ANCAP score. One analyst, as quoted in Nikkei Asia’s analysis of BYD’s latest sales numbers, said the company earns “roughly 10 times more profit per vehicle abroad than in China”. A part of this is vehicles sold in developed markets like Australia are offered in higher trim levels than they are in the Chinese domestic market, although the slew of larger, more expensive 4WDs and growth of luxury sub-brands like BYD’s Denza or Geely’s Zeekr are also massively helping to buff profit margins. GWM proclaims that it has doubled its average sale price in the last seven years in Australia as it has introduced pricier, better-featured vehicles, both from its Haval SUV brand and its Tank off-road brand further up the price scale. “The year-on-year increase in volume has also come with new cars at more expensive price points. If we can do that at the same time as showing customers value no matter the price then we’re on the right track." the brand’s Executive General Manager of Marketing and Communications Steve Maciver told CarsGuide recently. GWM is set to introduce its dedicated luxury arm Wey into Australia before the end of 2026. While Chinese brands continue to dominate the sales charts in Australia, where the barrier to entry is significantly lower, automakers like BYD, Geely, and Chery are facing tariffs in Europe and the USA as those jurisdictions move to protect their own domestic automaking capabilities. This is putting a cap on their respective ambitions, but each brand is also moving to diversify and acquire manufacturing capacity not only across Europe, but also in other strategic markets like South Korea and closer to home in South East Asia. Legacy automakers are feeling the crunch. Domestically this means household names like Subaru and Nissan dropping out of the race to be a top-10 automaker by sales, but internationally it means a massive squeeze in profit margins, big expenditure in research and development, and a large reduction in market share. This has resulted in many large international brands like Volkswagen and Nissan resorting to closing factories or cutting jobs by the thousands, with some brands needing to embrace Chinese joint-venture partnerships more closely to build more competitive models for export. Nissan, for example, shut down its historic Oppama factory in Japan as part of its Re:Nissan business overhaul, as it looks to reduce its capacity by a million units. As of the end of September 2026, the top-10 rankings in Australia are: Toyota (152,944 units) BYD (76614 units) Ford (61104 units) Kia (60800 units) Mazda (58865 units) Hyundai (56009 units) GWM (44959 units) Tesla (41705 units) Chery (38022 units) MG (36832 units)

For over a decade we’ve been told the sedan is dying. Sales have declined, the amount of options available has dwindled and buyers continue to gravitate to SUVs and utes. And yet, the sedan survives. But not just survive, new models are now arriving and sales for the total mid-size sedan market have been on the rise in 2026. Mid-size sedans, both mainstream and luxury, are up 18 per cent year-to-date to the end of September. Geely is the latest brand to believe there is a future for sedans, confirming the new Emgrand L plug-in hybrid will arrive in Australian showrooms next year to compete against the likes of the Tesla Model 3, BYD Seal and Mazda 6e. Despite the relatively-fresh competition and the recent sales growth, sedan sales are still amongst the smallest in the country. The best-selling sedan is the Toyota Camry, with 9471 sales to the end of September, which compares to 31,209 sales for the Toyota RAV4 mid-size SUV. Geely Australia’s Director of Product Planning and Marketing, Andrew Tuitahi, said the brand is confident there will be buyers looking for an SUV alternative. “When it comes to Emgrand L EM-i that's designed to target a slightly different market, but we think there is an opportunity for a more traditionally styled sedan with high technology and alternate fuel offerings,” Tuitahi said. “There's a lot of metrics and a lot of research that we've conducted,” he added. “Certainly the response from customers is positive. The response from dealers is positive. And there are absolutely buyers who don't want to drive an SUV. They want something that looks a little bit more conventional, and they like that style of sedan.”  “ I think we'll put together a package and share it when we launch Emgrand. But certainly there is a buyer profile demographic that is finding sedans appealing,” he said. Looking at the latest sales figures there is a growing market for electric and plug-in hybrid sedans, led by the likes of the Tesla Model 3, BYD Seal and Seal 6 as well as the new Mazda 6e. All of those models have grown in volume in the first three quarters of 2026, although the Seal 6 and Mazda and both all-new models, so any sales would be incremental volume. While they have grown, that is from a small base and overall sales remain relatively small. Tesla has sold 5775 examples of the Model 3, which is a seven per cent increase on 2025, but that figure is dwarfed by the combined 35,930 sales of the Model Y and Y L. BYD has sold a combined 4727 Seal EV and Seal 6 PHEV sedans (and wagons), which does mean that two of the three best-selling sedans are electric, suggesting there is a demand from customers for efficient vehicles outside of the SUV market. However, it isn’t a large demand with the rest of the market contributing a combined 27,805 total mid-size sales, which is less than the RAV4 has managed on its own - just to underscore the dominance of SUVs. Kia’s EV4 has managed just 361 sales, the Skoda Octavia 340 and the MG MG7 only 230. Even the once popular premium sedans, including the BMW 3 Series and Mercedes-Class are down significantly in 2026. So, while Geely is confident there are buyers for the Emgrand L, and Tesla, BYD and Mazda are managing to make sedans work for them, the cold, hard fact remains that the traditional ‘four-door’ is unlikely to become a mainstream choice again for Australians. Sedans aren’t dead yet, but anyone expecting a resurgence shouldn’t be.

Aussie car buyers have plenty of affordable EV choices in Australia. From hatchbacks to city SUVs, there are now several compelling options around the $30,000 mark. The BYD Atto 1 compact SUV became the cheapest new car on sale in Australia, while the Geely EX2 hatchback has had a surging start on the sales charts. Other competitors include the GAC Aion UT hatch and the incoming Leapmotor B03X small SUV, which provide buyers with some further thinking to do. Here is how the four stack up on the numbers. The Atto 1’s $19,990 (drive-away) price tag isn’t just the cheapest on this list, it’s the cheapest new car currently on sale in Australia. This deal does run out in December, when it will revert to $23,990. The premium grade of the Atto 1, which adds a bigger 43kWh battery with 310km WLTP range, starts from $27,990 (before on-road costs), which is on par with its rivals. The B03X starts from $29,990 (drive-away), making it the cheapest small electric SUV in Australia. Geely’s EX2 entered the Australian market in July 2026 at $26,490 (before on-road costs), which pushes the final drive-away price closer to $30,000. GAC’s Aion UT is available from $31,990 (drive-away), but the new Chinese brand will add a cheaper standard range variant in December, 2026. The MG4 Urban hasn’t been included in this list, but the electric hatch is currently available from $29,990 (drive-away) until October 31, courtesy of a $2000 cashback offer. The Aion UT’s single electric motor produces 150kW and 210Nm, edging out the B03X’s 130kW and 200Nm. Geely’s EX2 produces 85kW/150Nm - closely rivalling the Atto 1’s 65kW/175Nm. The EX2 stands out with a rear-wheel-drive configuration, potentially providing an on-road edge over its front-wheel drive rivals. The Aion UT’s 60kWh battery trumps the rest of the competition, offering a driving range of 430km, however, the incoming and cheaper short range Aion UT will only offer 320km from a 44kWh unit. The EX2 has a 35kWh unit with 280km, close to the B03X (292km from 40kWh) and besting the Atto 1 (220km from 30kWh). Inside the cabin, the Aion UT and the Leapmotor B03X have 14.6-inch central touchscreens and 8.8-inch digital drivers displays, but the former boasts synthetic leather seats as standard, instead of fabric. The EX2 also has synthetic leather seats as standard, but a smaller 12.3-inch central touchscreen and 8.0-inch digital driver display. The Atto 1 has a 10.1-inch central touchscreen and 5.0-inch digital driver display, with fabric seats as standard. As an SUV, the B03X has 1325L of storage space, including a 105L storage area under the main boot. The EX2 offers an impressive amount of storage space for a hatch, with 1320L, which includes a 70L front storage space. The Atto 1 still has 1037L, despite being the smallest car in this comparison. The Aion UT provides 689L of total cargo when the rear seats are folded, but this is noticeably less than the rest of the pack. The Atto 1 is the smallest car of the pack, with Aion UT longer than the EX2 and the same length as the B03X. The Aion UT is also the widest of the cars and has the longest wheelbase. The B03X is the only SUV here and is naturally taller than its hatchback rivals. The Atto 1 and EX2 were awarded a five-star Australasian New Car Assessment Program (ANCAP) safety ratings. The Atto 1 performed well in crash testing, with 82 per cent adult protection and 86 per cent child protection. ANCAP assessed the EX2 using its new ‘Stages of Safety’ criteria. Features like its driving monitoring system and adaptive cruise control guided the EX2 to a 79 per cent safe driving rating. It rated crash avoidance at 72 per cent, and overall crash protection at 86 per cent. The GAC Aion UT also received five stars and performed well in all categories. The Leapmotor B03X remains untested by ANCAP, but it has a suite of active safety features, including auto emergency braking and adaptive cruise control. The Aion UT wins the warranty battle, with an eight-year/unlimited-kilometre warranty for both the car and its high-voltage battery. The EX2 also has a strong warranty guarantee, with seven years/unlimited kilometres for the car and eight years for its high-voltage battery. The Atto 1 and B03X are offered with similar warranties. Both guarantee six years or 150,000km, and an eight-year or 160,000km battery warranty. BYD does further guarantee the Atto 1’s battery will still have at least 70 per cent after eight years. The Atto 1, EX2 and B03X all need to be serviced every 12 months or 20,000km, while the Aion UT is every 12 months or 15,000km.

Fast-rising Chinese brand Geely has a secret weapon in its plans for local success. Australia’s unique road conditions and our particular taste in vehicles has always presented a challenge for international brands. It’s one of the reasons why Holden and Ford were dominant for decades and it’s why the likes of Hyundai and Kia invested millions in their own local ride and handling testing programs. GWM recently announced it had hired former Holden engineer Rob Trubiani to lead a local engineering program to make its cars more ‘Australia specific’. But despite all this, Geely’s management doesn’t believe there is a need for a similar investment of engineering and other resources to make its vehicles more suited to Australia’s specific roads and drivers. According to Andrew Tuitahi, Geely Australia’s Director of Product Planning and Marketing, the brand can instead call on the engineering experience and expertise of fellow Geely-owned brands, such as Lotus and Volvo. “ Certainly when we look at Geely Holding Group relative to some of the other Chinese brands I think we're in a unique position,” Tuitahi told CarsGuide. “Under our umbrella we carry a lot of European brands that are well-renowned for various disciplines, whether that be safety with Volvo or things like ride, handling dynamics with Lotus. And so I think we can lean more heavily on talent and know-how across our group rather than trying to focus it here in Australia. “That's not saying that programs wouldn't take place here, but certainly I think a lot of that engineering excellence could be deployed here and in other parts of the world to deliver a product that will perform well in Australia, and it wouldn't need to be done by personnel on ground employed here.” In addition to Volvo and Lotus, Geely Group owns, or has a significant stake in, Polestar, Zeekr, Lynk & Co, Smart and Aston Martin. CarsGuide understands that no Lotus or Volvo engineers have worked directly on the current Geely range offered in Australia - the EX2, EX5 and Starray - but Tuitahi has left the door open for future opportunities. But the local offerings are sold in Australia with a more European-engineer steering and suspension set-up, which is firmer and more direct than what is offered in the Chinese domestic market models. Tuitahi indicated that Geely Australia has made it clear to management that the ‘European tune’ is better suited for local tastes. After a slow and deliberate start in Australia, Geely is planning a significant model expansion, with up to six new models due in the next 12 months. This will include the Battleship 700 (name subject to change) off-roader, Monjaro large SUV and the Emgrand L mid-size sedan.

Physical buttons are making a return to cars around the world, but the Chinese government is taking it a step further. China’s Ministry of Industry and Information Technology (MIIT) has filed proposals to mandate physical buttons and switches for critical car functions. Multimedia screens, large-area displays and complex head-up displays in cars must undergo mandatory safety checks under the proposals. These tests will measure the impact on driver distraction, reliability in extreme weather and crash performance. The rules take effect for new models from January 1, 2027, with existing models getting the same scrutiny from July 1, 2027. In February 2026, China overtook Japan as the biggest seller of cars in Australia. The China-built BYD Sealion 7 and Tesla Model Y have consistently been the two best-selling electric cars in Australia. They feature 15.6-inch and 16.0-inch central touchscreens, respectively. The Model Y’s screen controls virtually all functions, while the touchscreen in the Sealion 7 controls climate as well as vehicle and safety settings. Installing a large screen instead of a series of buttons and switches can save carmakers money. Housing features like this in a touchscreen increases driver distraction, with drivers needing to sift through menus instead of looking at the road. It arguably causes a similar distraction to using a mobile phone while driving, but using a big touchscreen isn’t illegal. These new rules will require key functionality to be controlled physically as opposed to being embedded in the in-car software. Buyers will see many of Australia’s most popular models adopt a new layout inside the cabin from 2027. Some brands have already started to reintroduce physical controls in the cabin in response to buyer feedback, including Mercedes-Benz and Volkswagen. The Chinese government is moving to prohibit “folding” or “flexible” screens inside the car. While there aren’t mass-production cars that have these styles of screen, some brands were developing plans to introduce them down the line. China is also banning the use of ‘zero-gravity’ seats while driving that have become hugely popular in luxury models. This feature enables a seat to recline back on a steep angle, while elevating the leg rest to distribute body weight evenly, hence ‘zero-gravity’. This poses dangers to passengers, because in the event of a sudden stop or a crash, they could slide under the seatbelt, and will also be misaligned with airbags. It comes after the Chinese government outlawed electrically-operated hidden door handles, in favour of manual emergency releases.