Used Car Market Stabilises as Dealers Play a Greater Role

The Australian Automotive Dealer Association (AADA), in partnership with AutoGrab, has released the Annual 2025 Automotive Insights Report (AIR), providing a comprehensive overview of Australia’s used car market over the past calendar year.

National used car sales totalled 2.32 million vehicles in 2025, down 0.37 per cent compared to 2024, highlighting a broadly stable market year on year. After several years of disruption, the used car market settled into a more sustainable operating environment in 2025, with conditions improving for both buyers and sellers and less extreme movement in prices and stock availability.

A notable shift during the year was the growing share of dealer-led transactions. Dealer sales accounted for 48.6 per cent of the used car market in 2025, up from 39.1 per cent in 2024, reflecting stronger consumer confidence in the dealer channel and improved availability of dealer stock.

“The increase in dealer market share reflects growing consumer confidence in what purchasing through a dealer provides,” said AADA CEO James Voortman. “Dealers are playing a more prominent role as consumers seek greater certainty around pricing, vehicle quality and after-sales support in a more balanced market environment.”

Vehicle preferences continued to evolve throughout 2025, with SUVs further strengthening their dominance of the used car market, while passenger vehicles continued to lose share. At the same time, electrified vehicles including hybrids, electric vehicles and plug-in hybrid electric vehicles continued to grow their presence in market share.

“The Annual 2025 Automotive Insights Report confirms the used car market has moved beyond the distortions of recent years and into a more stable, sustainable phase. What we’re seeing now is a structurally healthier market, where disciplined pricing, better stock availability and data-led decision-making are once again central to dealer performance,” said AutoGrab COO Saxon Odgers. “With supply chains normalising and transparency improving, the 2025 results provide a constructive foundation for 2026. Dealers and OEMs now have a clearer line of sight to pricing, risk and inventory planning than at any point in the last five years.”

Key insights from the Annual 2025 Automotive Insights Report include:

  • Stable annual sales: National used car sales declined by just 0.37 per cent compared to 2024.
  • Dealer share rises: Dealer transactions increased to 48.6 per cent of total sales, up from 39.1 per cent in 2024.
  • Electrification gains ground: Hybrid, EV and PHEV vehicles all increased their share of the used car market.

DOWNLOAD ANNUAL 2025 AIR

DOWNLOAD MEDIA RELEASE