The October edition of the Automotive Insight Report (AIR) showed that used car sales dropped by 3.2% to 202,355, compared to last month.
Meanwhile, used car listings have grown by 1% to 317,861, indicating a buyers’ market as used car supply continues to outpace demand.
“The average days to sell has increased from 46.4 days last month to 49 days in October, the highest it has been since December last year,” Australian Automotive Dealers Association chief executive James Voortman says.
“Regarding fuel types, petrol and diesel cars still account for almost 95% of all sales,” Voortman says.
“However, consumers are gradually turning towards more fuel-efficient options with a greater variety and more affordable options now available. Sales of conventional petrol and diesel vehicles have dropped by 4.5% and 2.3%, while PHEVs are still the top pick for buyers, with EVs close behind – both seeing strong sales jumps of 27.1% and 22.3%.
“As expected in an oversupplied market, retained values remain on a downward trajectory, with every vehicle segment across every age category experiencing a drop in value for the month. Retained values of used EVs in the 1-3 year old category have declined while the older models appear to hold their value better,” he says.
Small vehicles in the passenger segment maintain their lead in most muscular value retention, with the Kia Picanto replacing the Audi RS3 from last month, at 95.6% in the 2-4 category. The Toyota Yaris remains unbeatable in the 5-7-year-old category at 95.4%. In the SUV category, the Suzuki Jimny leads in the 2-4 year and 5-7-year-old categories at 113.4% and 114.0%, respectively.
Given the interest in EVs, the October AIR has provided a snapshot of Australia’s used EV market, which is reflected in retained values that are well below average.
“Average days to sell used EVs has climbed to 67.3 days, which is no surprise given the significant oversupply of used EVs. With Trump’s presidential win and further anticipated rise in tariffs on Chinese vehicles, we’re seeing more Chinese-made cars – especially EVs – heading for Australia,” Voortman says.
“This is pushing car makers to offer steeper discounts on new cars, making it difficult for used-car sellers to move stock.
“The MG4 EV was by far and away the best-selling used EV in October, recording sales growth of almost 85% in the previous month and selling double the units of its next closest competitor,” he says
Highlights from October 2024
The MG4 was the best-selling used vehicle in EVs, followed by the Tesla Model 3.
More than 202,355 vehicles sold in October, a decline of 3.2% compared to the previous month.
Victoria was the only state to observe a jump in sales by 0.2% to 49,463.
There were 317,861 used cars listed for sale in September, an increase of 1 % from the previous month.
The Northern Territory was the only state to observe a significant decline in sales of used EVs.
The average time to sell a used car has increased to 49 days.
Every vehicle segment across every age category experienced a drop in retained value for the month.
The Ford Ranger remains Australia’s best-selling used car, followed by the Toyota Hilux.
Read the full Automotive Industry Report for October 2024 here
