The Australian Automotive Dealer Association (AADA) has released new research today which details Australia’s past, current and future automotive trading partners, with a particular focus on understanding how the New Vehicle Efficiency Standard (NVES) impacts automotive dealers.
The report reveals that China is gaining momentum in supplying vehicles to the Australian market and are on track to become the dominant source of automotive imports by 2035 with 43 per cent of all new vehicles sold by 2035 coming from China.
The research to be released at the 2025 AADA Convention & Expo to over 1,000 new car dealers and industry stakeholders, details how the Australian automotive market has always been in a constant state of flux but this rapid growth of imports from China will fundamentally change the Australian automotive landscape.
Speaking to the research at the Convention, James Voortman, CEO of AADA, notes that:
“Australia is at an inflection point where we are going to see exponential growth of sales and new brands from China which we are already starting to see now. This growth comes on top of the change to electric vehicle drive trains.”
“This rate of growth can have unintended implications to consumer protections such as the supply of parts, wait times to service vehicles, and the long-term ability of manufacturers to guarantee their consumer warranties.”
“Australian consumers have long expected a level of service from AADA members upon purchasing a new vehicle and we want to continue to meet that expectation. To do that, we will be talking to Government about what consumer protections are adequate and appropriate to support Australian dealers and consumers in what is, on average, the second largest asset Australian’s buy in their lifetime.”