Key Headlines
- Impacts of the Middle East conflict continues to influence buyer priorities. Heightened running cost considerations are pushing purchase decisions towards electrified vehicles.
- Used hybrid vehicles are the standout performer in used electrified stock. Demand is strong, supply is tightening, and values are holding across all model years.
- PHEV momentum is more uneven. The segment absorbed a fuel-driven demand surge in March, but stock velocity splits sharply by model and age.
- Chinese PHEV brands have entered the used market in volume. Brand openness among buyers is growing, but it is not yet universal.
Market Snapshot – Hybrid and PHEV
Australians are increasingly moving to electrified vehicles as rising fuel prices and cost-of-living pressures reshape buying behaviour, according to new market intelligence data from AutoGrab and the Australian Automotive Dealer Association (AADA).
While much of the public conversation continues to focus on EVs, which experienced a sharp surge in March 2026, the shift towards lower running cost vehicles has not stopped at EVs. The economic case for electrified options has become hard to ignore and reframed how buyers think about BEVs, PHEVs and hybrid vehicles.
Hybrids Lead the Electrified Market
A total of 28,395 used hybrid vehicles were sold nationally between January and April 2026, representing 11.2 per cent of all used vehicle sales for 2021-2025 model year vehicles.
While EVs continue to dominate much of the public conversation around electrification, the data shows hybrids are a strong performing segment of the used electrified market, with buyers attracted to lower running costs without needing to change driving or charging habits.
Used hybrid supply tightened significantly during the first four months of the year, falling from 53.8 days supply in January to just 42.3 days in April – well below petrol and diesel vehicles, which both increased over the same period.
Toyota dominates the used hybrid market, with the Toyota RAV4 and Corolla accounting for eight of the top ten hybrid models by sales volume. Both vehicles recorded consistently strong selling times and tight stock levels, reinforcing Toyota’s position as the benchmark brand in Australia’s used hybrid market.
The analysis also found hybrid retained values remained exceptionally strong, with 2025 model year vehicles averaging more than 100 per cent retained value across the reporting period. Even 2021 model year hybrids retained an average 88.2 per cent of original purchase price.
PHEVs Gain Momentum as BYD Emerges
Used plug-in hybrid vehicle (PHEV) sales also strengthened during the period, with 7,536 vehicles sold nationally year-to-date, representing 3.0 per cent of used vehicle sales.
The segment experienced a sharp uplift in March as fuel prices surged, although demand varied significantly by brand and model.
Chinese brands are beginning to establish themselves in the used PHEV market, led by BYD. The 2025 BYD Shark 6 recorded just 18.5 days’ supply, the fastest-moving PHEV in the segment, highlighting particularly strong buyer demand.
However, the data shows the broader PHEV market remains uneven, with newer models performing strongly while older stock experience softer retained values and slower selling times.
General Market Statistics
- The broader used vehicle market also remained active in April, with 343,021 vehicles listed for sale nationally, representing a 4.7 per cent increase month-on-month.
- A total of 203,525 vehicles were sold during the month, down 8.7 per cent compared to March.
- Dealer activity continued to account for a significant share of the market, representing 44.1 per cent of all used vehicle sales nationally.
- Market efficiency also improved slightly, with average days to sell falling to 44.6 days, indicating continued resilience in transaction times despite softer overall sales volumes.
Reaction
Australian Automotive Dealer Association CEO James Voortman said the data showed Australians were increasingly prioritising practicality and affordability when choosing their next vehicle.
“The fuel price spikes earlier this year clearly pushed many buyers toward electrified vehicles, particularly hybrids and plug-in hybrids.”
“While EVs attract much of the attention, this data is a reminder that hybrids are playing a major role in Australia’s transition, because they offer lower running costs without requiring major changes to driving habits or charging behaviour.”
“The retained value figures for hybrids are particularly remarkable and are one of the clearest indicators of genuine consumer demand we have seen in the used vehicle market.”
AutoGrab Chief Commercial Officer Saxon Odgers said heightened running cost considerations, in part precipitated by the Middle East conflict, has boosted the economic case for Australians to choose electrified transport as their next vehicle purchase.
“Used vehicle data in the Australian market points to a discernible shift towards electrified transport options, in a timeframe compressed by external factors and an increasingly dynamic marketplace.”
“Used hybrid supply tightened from 53.8 to 42.3 days between January and April, while petrol and diesel inventory moved in the opposite direction. That gap is a clear signal of where buyers are spending.”
For more detailed market analysis beyond the national snapshot, including state-level insights and additional market segmentation, visit AutoGrab AIR Pro for further information.