Volkswagen News

BYD passes global milestone
By Tom White · 30 Oct 2026
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)
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Hybrids worse for climate than expected
By Tom White · 27 Oct 2026
Plug-in hybrid vehicles, or PHEVs, are exploding in popularity in Australia as better value models flood in, but a new report claims this particular type of electrified vehicle is six times worse for the climate than official numbers suggest. The report from Transport & Environment, a Brussels based advocacy group for clean energy, says the gap between official WLTP emissions numbers and those assessed in the real world is rapidly expanding, despite more recent plug-in hybrid models focusing on pure electric driving range. Transport & Environment says data collected by the EEA (European Environment Agency) on real-world emissions for PHEVs proves the technology is almost as bad as emissions from petrol and diesel cars, offering just a 14 per cent emissions reduction against an 83 per cent reduction claim according to official WLTP numbers. The reason, the group says, is because a focus on heavier cars with bigger batteries and longer electric driving ranges did not correlate to better emissions performance, with the best indicator instead being the power of the electric motor. In the study, plug-ins with electric motors 25 per cent more powerful than their combustion engines cut real-world emissions by a third, and up to 20 per cent even when the battery was drained. Transport & Environment concluded the ‘utility factor’ correction applied in European emissions rules encouraging automakers to increase battery size to reduce official emissions numbers fails to account for the fact that PHEVs are only driven, on average, 27 per cent of the time in fully electric mode. This means the rest of the time, when the battery is discharged, the engine must work harder to drag around the larger battery, skyrocketing the car’s real-world emissions. The group argues that amending these concessions to the official number to account for this would encourage automakers to improve drivetrain efficiency rather than simply increase battery size. Lucien Mathieu, cars director at Transport & Environment, went so far as to say: “A decade after Dieselgate, it is outrageous that Europe is once again debating whether to keep using misleading emissions to sell cars. “The European Parliament and Council have a clear choice, protect drivers’ wallets or allow carmakers to continue lying to consumers.” This matters in Australia, as automakers rely on the same official emissions numbers to comply with our market’s recently-introduced emissions regime, the New Vehicle Efficiency Standard (NVES). The rules crack down on a car’s official CO2 numbers, imposing fines on automakers whose fleets exceed thresholds similar to those in the European Union. As a result, a flood of new plug-in hybrids at more competitive price points have been rushed to the Australian market, from ultra-affordable options like the new BYD Atto 2 DM-i (from $24,990) to the ultra-mainstream Toyota RAV4 PHEV (from $59,515). Plug-in hybrid tech is seen as the future of the ever-popular ute segment, which is more ill suited to full EV technology due to the weight of batteries limiting payload and towing capacity. To that end, BYD’s Shark 6 has single-handedly caused a technology shift in the segment, introducing plug-in hybrid technology to the historically diesel-dependent sector. In an attempt to cash-in on the runaway success of the Shark 6, many automakers are plotting PHEV utes and large off-road SUVs for our market, including the much-hyped Nissan Frontier Pro and intriguing Chery Stockman, which uses new diesel plug-in tech. Whether European emissions laws will be amended following these revelations remains to be seen, as Australia’s NVES regime is largely based on established Euro rules.
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VW's 'radical' plan to beat China
By Tim Gibson · 20 Oct 2026
Volkswagen’s new China strategy is in the works, and it could be a game-changer for the brand in Australia.  The German carmaker is evaluating selling some of its China-only models in Europe, according to a report from UK outlet Autocar.  It comes as brands face increasing pressure to offer models at competitive prices to fight off ultra-affordable Chinese competition.  “For the future, we’re getting ready for bringing one or more vehicles in from China,” Volkswagen Chief Executive Officer Thomas Schafer told Autocar.  Volkswagen Group remains one of the biggest carmakers in the world, with its footprint spanning Audi, Cupra and Skoda, among others. Volkswagen Group Chief Executive Officer Oliver Blume said in October 2026 the company is under “enormous pressure” from Chinese competition.  VW positions itself as a high-volume, low-margin company, but Chinese carmakers like BYD and Chery are eating into this segment because of high European production costs.  Consultancy firm AlixPartners recently said Chinese brands can build EVs for $11,000 less than European rivals, giving them a competitive advantage on pricing.  Volkswagen has a deep China presence via major joint ventures with SAIC Motor, owner of MG and LDV, as well as FAW and Volkswagen Anhui. VW will now look to lean into this presence that has seen them build cars in China at an affordable enough price to compete with Chinese peers.  The brand has already started to sell China-developed models globally, including in Australia, such as the Cupra Tavascan mid-size SUV.  "We’ve radically rethought the vehicles and worked with partners here and there ,” Schafer said.   “We’ve set up vehicles that are completely cost-competitive in the Chinese market. “We’re starting now to export to the global south and countries that have easier access from China than Europe, such as Australia and the Middle East.” It’s unclear what China-only models are under consideration for Europe. The VW boss promised any new models would not replace the current crop of offerings on sale in Europe.  Autocar speculated new European models could include the ID. Unyx 09 electric sedan co-developed with XPeng and the ID. Aura T6 large size SUV. Schafer ruled out the ID. Era upper-large SUV for the European market as it would be unsuitable due to its size. It’s unlikely Australia will see the impacts of this move for some time. The announcement does mean some previously China-only EVs will be built in right-hand drive, easing any local arrival. China is a left-hand drive market, so engineering to right-hand drive often requires substantial and sometimes prohibitive investment.  This news follows dramatic reports in July 2026 that VW Group is targeting up to 50 per cent fewer models. A spokesperson for Volkswagen Australia told CarsGuide at the time this decision would have no immediate impact on the local branch.  It’s likely to be a similar story with this latest announcement, but any models under consideration could provide the local branch with some renewed momentum.  Volkswagen sales are down more than 23 per cent to the end of September 2026 compared to September 2025, while Audi, Porsche and Skoda have also suffered declines.  VW models imported into Australia from China should be cheaper than those imported from Europe, and could provide buyers with some further affordable European-influenced choice.
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'Under pressure': VW's scary reality
By Dom Tripolone · 16 Oct 2026
Volkswagen is under “enormous pressure” from Chinese competition, according to its boss Oliver Blume. The boss of Volkswagen Group, which includes Audi, Cupra, Skoda, VW and more, has called for help to support local manufacturing to compete with a new wave of affordable Chinese EVs, as well as evolving market demands, according to Reuters. Volkswagen is getting squeezed in Europe by ultra-affordable new entrants to the market. The German giant’s business model is to sell volume at low margin in Europe. "This business model is ⁠under ​enormous pressure in Europe," Blume said. The recent Paris motor show was awash with new Chinese brands looking to muscle in, with big dollar war chests and plenty of production capacity. This follows news that Chinese carmakers can build an electric car for $11,000 less than the equivalent European model, according to consultancy firm AlixPartners. This has squeezed European makers' margins, which limits the ability to fund the next generation of models. “Chinese brands have taken 10 percent of volume from Western manufacturers in just a few years, and in doing so have fundamentally reset consumer expectations on price, technology and innovation,” said Xing Zhou, AlixPartners co-head of automotive for Germany, Austria and Switzerland. A similar storyline is more advanced in Australia where Chiense carmakers such as BYD, Chery and GWM are regular top 10 sellers, and new brands such as Geely and Zeekr are rising fast. The company has already agreed to cut its line-up in half, reduce model variants by 75 per cent and cut 100,000 jobs by the end of the decade to make itself leaner and more agile to stave off defeat. Now VW CEO Thomas Schafer has told UK publication Auto Express the model cull wasn’t really a problem and didn’t cause much drama. This is because it is a natural cycle of renewal driven by Europe’s 2035 mandate to cut emissions by 90 per cent. A natural cull will occur because Volkswagen won’t sell for example both the petrol-powered Polo and Tiguan and the electric ID.Polo and ID.Tiguan by that time, and this contraction of its line-up can be applied across its brands. He also said there will be a refocus on the most profitable products, meaning low-wattage niche vehicles will be gone. Volkswagen Australia already went through a similar cull, where it ditched the slow selling Passat and Arteon sedans to focus on SUVs and EVs.
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Europe ditches total petrol, diesel ban
By Tim Gibson · 16 Oct 2026
Petrol- and diesel-powered cars are back on the agenda in Europe. France and Germany are brokering a deal to see the European Union will walk back from its 100 per cent CO2 emissions reduction target, opting for a 90 per cent reduction instead, according to a report in Auto News. The old rules would have completely phased out petrol- and diesel-powered cars by 2035, but the EU has changed its tune. The EU is expected to also remove any offset requirements for the remaining 10 per cent that would have required carmakers to pursue expensive low-carbon steel or alternative fuels. This news means European carmakers will continue to build internal combustion cars for the foreseeable future. Rumours of the EU rolling back its emissions targets started in 2025, when multiple reports speculated the ground-breaking ban was in doubt. President of the European Parliament’s biggest party, the EPP, Manfred Weber told German newspaper Bild in December 2025, the 2035 plans were “off the table”. Weber said that “there will also be no 100% target from 2040 onwards”, ruling out a complete combustion engine ban in the future. The rules have come under extensive scrutiny from key stakeholders, including German giant Mercedes-Benz. Chief Executive Officer Ola Kallenius criticised the inclusion of offsets as part of the rules in March 2026, with offsets now all-but officially ruled out. “I know the market for green steel and how unrealistic those expectations are,” Kallenius said. He also said the rules could trigger a collapse in demand and distort the market. New cars sold that emit high levels of CO2 incur fines for brands under Australia's New Vehicle Efficiency Standard (NVES). By contrast, brands earn credits for cars that emit no CO2. The federal government has no plans to ditch NVES and is targeting five million EVs on Aussie roads by 2035, but some carmakers have criticised the rules. Ford Chief Executive Officer Jim Farley said regulations like NVES force carmakers to build cars to satisfy the rules, not buyers. “What we’ve seen around the world with this kind of pressure on pure EVs is that ultimately all OEMs develop compliance vehicles,” Farley said. “They’re not designed for customers. They’re designed for the OEM to be compliant and they’re subsidised by the OEMs and the customers have great choice. “That’s not a natural market and over time that winds up not being sustainable. “Something your government, or any government, has to be very sensitive to around the CO2 glide path. We want to reduce our CO2 footprint, but there’s a level that the customer can’t afford, and not all duty cycles can be electrified.” The NVES regulator handed down the inaugural 2025 performance period for NVES in early 2026. Mazda accrued over 500,000 emissions debits, which was the most of any brand, while Nissan and Subaru rounded out the top three. The regulator will release details of the 2026 performance period in February 2027, before the rules get even tougher in years to come. Some hybrid models will start to incur fines under the scheme, while utes will also come under scrutiny.
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The reason Chinese EVs are cheaper
By Tim Gibson · 14 Oct 2026
There is plenty of affordable Chinese car choice for buyers in Australia, and we’ve just learnt why. Chinese brands can build an EV for $11,000 less than European legacy automakers, according to a report in AutoNews.  Manufacturers aren’t just winning on price, they’re winning on speed as well.  Chinese automakers develop cars more than two times faster than their European rivals. These advantages are seeing Chinese manufacturers surge up the sales charts globally, and there’s more than 100 EV models on sale in Australia.  Chinese carmakers can build and sell cars faster.  European carmakers take up to five years to bring a new model to market, while Chinese rivals can do it in only two years.   When these models do finally hit the market, they aren’t as prolific as Chinese ones, with less than a third of sales from vehicles introduced in the past three years.  New Chinese models account for up to 100 per cent of a brand’s sales within the first two years by contrast.  These factors have contributed to European car brands’ pre-tax profit dropping from 13.2 per cent in 2021 to 6.9 per cent in 2025, which in turn limits their ability to innovate.  The European Union has resorted to hefty tariffs on Chinese EVs coming into the region to protect its car industry, but it’s not stopping buyers choosing them.  These brands have now started building their cars in Europe to avoid tariffs, while taking advantage of under-utilised European automaker factories.  Consultancy firm AlixPartners told AutoNews the way Chinese brands are operating in Europe has fundamentally reset consumer expectations on price and technology. “A gradual response isn’t an option,” AlixPartners co-head of automotive for Germany, Austria and Switzerland Xing Zhou said.  “Manufacturers need to restructure, support their suppliers and move faster on technology partnerships than most have been prepared to do so far.” European carmakers need to aim for two-year development cycles and lean into artificial intelligence (AI) to reduce costs and increase production and development speed, according to the firm.  “The window to act from a position of financial strength is closing, and closing faster than most boardrooms and governments assume,” global co-leader for automotive and industrial practice at AlixPartners Andrew Bergbaum said.
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Huge fix for EV issue in the works
By Tim Gibson · 13 Oct 2026
A fix for a huge electric car problem is in the works. The Electric Vehicle Council (EVC) has announced a $1.43 million investment into a national EV charging roadmap.  The EVC said in its 2026 State of EVs report that Australia still needs "substantial public charging investment”.  It called for better data on demand use, reliability and coverage, with Australia’s charging infrastructure conundrum more complex than merely installing more fast chargers.  The roadmap is expected to be finalised in mid-2027.  The $1.43 million is made up of funding from the Australian Renewable Energy Agency (ARENA) ($1.06 million) as well as contributions from the EVC and other project partners.  The roadmap will look at charging demand, pressure points and where greater coordination could inform investment decisions through to 2035. It aims to introduce a coordinated charging network for passenger cars and heavy vehicles in metropolitan and regional Australia.  “Other major EV markets have recognised the value of coordinated national planning,” EVC Chief Executive officer Julie Delvecchio said.  “This Roadmap will bring that to Australia, shaped around our distances, our electricity system and the needs of everything from passenger cars to heavy trucks.” Owning a petrol or diesel car is becoming more expensive in Australia, and buyers are making the switch to EV power.  The Tesla Model Y has consistently featured in the top five best-selling cars, and in June 2026, it achieved a recording-breaking 8072 sales.  The BYD Sealion 7 has also recorded a serious increase in sales as it provides tough competition for the Model Y, while Geely’s EX5 has had a bumper 2026.  The federal government is targeting 5 million electric cars on Aussie roads by 2035, which would require the total number of EVs on the road to increase tenfold. Electric cars are now among the cheapest on offer in Australia.  The BYD Atto 1 starts from $19,990, drive-away (until December 15, 2026), while the Geely EX2 is available from $26,490, before on-road costs.  The New Vehicle Efficiency Standard (NVES) is helping to increase EV choices for buyers, with high-emission cars incurring hefty fines under the scheme. 
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This is VW’s car to defeat China
By Dom Tripolone · 12 Oct 2026
Volkswagen finally has the firepower to take on China, with its new ID.Tiguan electric SUV. The new ID.Tiguan will replace the current ID.4 and ID.5, which are currently still on sale in Australia. Both have been met with lukewarm success and have been comprehensively outsold by the Tesla Model Y, Zeekr 7X, Geely EX5 and more. The mid-size electric SUV moves to the company’s upgraded electric car platform, dubbed MEB+. This brings a number of updates including faster charging capabilities, better batteries and more efficient electric motors. The new ID.Tiguan brings more road presence than the outgoing ID.4 and ID.5. It looks less like it was designed to impress a wind tunnel and more to look good in a driveway. It has chunkier styling with a more boxy silhouette, with broad haunches and a blocky rear end. Sharp LED lights joined by a light bar that runs the length of the bonnet gives it a modern EV feel. There are just enough body creases to give it some visual appeal, along with various alloy wheel designs. Inside is where the magic really happens. Buttons, glorious buttons, have made a return to a Volkswagen interior. There are physical controls for climate functions underneath the central multimedia display, and the steering wheel has plenty of real buttons, not haptic feedback touch controls of cars past. This doesn’t mean the ID.Tiguan is old-school. The ID.Tiguan can come with three screens, including a 15-inch central multimedia screen, 10-inch driver display and a 12-inch front seat passenger screen. This means the screens run the length of the entire dashboard. It appears the austerity years that ripped out the high-end feel of Volkswagen interiors might be over, with the ID.Tiguan looking plush and comfortable inside. The ID.Tiguan is available in three layouts: two single-motor, rear-wheel drive and one dual-motor all-wheel drive. The base rear-wheel-drive version uses a 140kW motor and 58kWh battery delivering a WLTP range of up to 450km. A beefier 210kW rear-wheel drive version is paired with a 77kWh battery that provides a driving range up to 600km. The range is topped off with a 220kW all-wheel-drive version that uses the same 77kWh battery to push the car up to 560km. The bigger batteries can accept up to 165kW of DC power and the smaller version up to 105kW. All can absorb 11kW from an AC connector. The ID.Tiguan can even tow, with the smaller battery version capable of pulling up to 1800kg and the others can shift 2000kg. Volkswagen Australia has not confirmed if the ID.Tiguan will be sold in Australia, but it is almost certain it will arrive here to replace the ID.4 and ID.5. Pre-sales start in select European countries this month, but Australia is usually a decent chunk behind the continent. Volkswagen has just announced a series of substantial updates for the ID.4 and ID.5 in Australia, which will likely point to it being on sale for another year at least. So, expect it to arrive towards the end of 2027 at the earliest. In Germany it starts at the equivalent of about $68,000.
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Big changes for VW's Zeekr rival
By James Cleary · 08 Oct 2026
Volkswagen Australia has moved to shake up its mid-size ID.4 pure-electric SUV with a bigger battery in the entry-grade, new onboard features, revised controls and upgraded active safety systems for the 2027 model year. Even as local electric vehicle (EV) sales boom, the ID.4 remains a sales minnow, recording just over 1300 registrations to the end of September this year compared to the heavy-hitting Tesla Model Y sitting on 35,930 units for the same period. So, to improve the EV’s value-equation and boost sales momentum, while adding $1000 to the before on-road costs price VW has upped the standard specification with its new, in-house-developed Innovision multimedia system (with satellite navigation), physical steering wheel controls, expanded driver assistance technologies and enhanced personalisation features across ID.4 Pro and ID.4 GTX models. The Innovision system is managed through a 12.9-inch touchscreen with nav functionality including a new-gen version of the brand’s ID. Light system, which provides guidance prompts at the base of the windscreen, including animated directional cues for upcoming turns. The MY27 updates bring an increased gross battery capacity of 84kWh for the ID.4 Pro (up from 82kWh) with the official range figure rising marginally from 544 to 546km. The ID.4 GTX retains its 82kWh pack. VW has responded to calls for physical adjustment of commonly-used features, replacing widely unloved touch-sensitive controls on the steering wheel with conventional buttons for functions like audio volume, cruise control and phone connection,   At the same time a new ‘Driving Experience Selection with Atmospheres’ set-up allows personalisation of the cabin through coordinated adjustment of a range of comfort and convenience settings. The car’s ADAS (Advanced Driver Assistance Systems) suite has also been expanded to include: Traffic sign recognition Front cross-traffic assist Proactive Occupant Protection System Predictive Speed Limiter Enhanced Area View Surround-view Camera System The Predictive Speed Limiter works in conjunction with the car’s adaptive cruise control and traffic sign recognition to automatically adjust vehicle speed in response to changing limits.  The upgraded VW ID.4 is available now and announcing its improved specification Volkswagen Australia Brand Director of Passenger Vehicles Piergiorgio Minto said, "The MY27 updates introduce a meaningful range of enhancements across technology, safety and personalisation, further strengthening the appeal of the ID. 4 range for Australian customers.”
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Different hybrid tech explained
By Tim Gibson · 30 Sep 2026
Hybrid power is now mainstream for Aussie buyers.   It's an important choice for buyers transitioning from petrol- and diesel-powered cars to full EVs. Hybrid-powered cars are also important for brands as they seeks alternatives to internal combustion cars that incur fines under the New Vehicle Efficiency Standard (NVES). There are broad categories of hybrid cars in Australia, and each one has its own benefits for buyers. Here's a look at what hybrids are available, and which one might suit you best. Mild hybrid power is the first stage of electrification for cars. Mild hybrid cars can't drive on EV power alone, because they only use a small, low-voltage battery (usually) 48-volt, with a less than 1kWh capacity. The electric motor usual powers certain electrical features and the starter motor. They don't need to be charged, but they also don't offer noticeably better fuel efficiency than standard petrol- and diesel-powered cars. The popular Toyota HiLux ute is available with a 48-volt mild hybrid system, while Suzuki and Renault offer mild hybrid set-ups on some of their models. Conventional hybrid, plug-less hybrid or self-charging hybrid cars are popular in Australia. The engine works seamlessly with a bigger electric motor to maximise fuel efficiency. A conventional hybrid usually runs on electric-only power at low speeds or for short distances when cruising at higher speeds. The engine will kick in at higher speeds or when more power is needed, blending petrol and electric power. This makes fuels efficiency in urban environments or star-stop traffic better than what a petrol- or diesel-powered car would achieve. The battery in a conventional hybrid is charged by the engine and from regenerative braking, meaning the car doesn't need to be plugged in. The conventional hybrid car's battery is smaller than those in plug-in hybrid and fully-electric cars, and still requires a petrol engine to run. Toyota provides conventional hybrid set-ups on the vast majority of its Australian line-up, including its RAV4 SUV and Camry sedan. Other popular brands Kia, Hyundai and others also have affordable conventional hybrid variants on its popular models. Plug-in hybrids or PHEVs take hybrid power to the next level because they are equipped with a much larger battery and a more powerful electric motor set-up. PHEVs have a long electric-only driving range, with some capable of exceeding 200km, before the engine is needed to drive the wheels. Most new PHEVs have an EV range of at least 100km. This means daily commuters will rarely have to fill-up on fuel if they charge the battery every night. PHEVs also boast significant combined driving range as they have a regular sized fuel tank to power the engine, resulting in ranges of north of 1000km before the fuel tank and battery are depleted. Carmakers often claim PHEVs drink less than 2.0L/100km of fuel, but that requires owners to constantly charge their batteries and never let it deplete. Once the battery is depleted fuel use will skyrocket, as the small engine has to move around a heavy vehicle weighed down by the battery and electric motors. PHEVs suit a buyer with access to charging facilities, who also want outstanding fuel efficiency. Bigger Chinese vehicles usually employ PHEV set-ups, including the BYD Shark 6 ute and incoming Zeekr 8X and 9X. Range-extender hybrids, also known as Range Extender Electric Vehicle (REEV) or Extended-Range Electric vehicle (EREV), are gaining popularity globally. They are feature similar hardware to PHEVs, but work in a different way. The engine in a REEV's is used as a generator for charging the battery, and the wheels are driven by the electric motor, or motors, only. REEV's have an EV-sized battery that can also be plugged in to charge, giving these cars a driving range comfortably exceeding 1000km. Leapmotor's B10 and C10 SUVs use REEV set-ups in Australia, but the incoming Forthing Taikon 5 and the XPeng L03 will also employ the set-up when they hit showrooms. Nissan’s ‘e-Power’ hybrid system in the X-Trail and Qashqai SUVs employ REEV tech on a smaller scale, using the engine to power a small battery that powers the wheels, but this battery cannot be plugged in to charge.
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