VFACTS: Disastrous 2020 ends on a positive note

AUSTRALIA’S new-vehicle market has slumped to its lowest annual gross sales outcome since 2003, with the results of the COVID-19 pandemic seeing the nationwide gross sales tally fall to underneath a million items for the primary time since 2007.

Nonetheless the yr ended with a glimmer of hope, due to a second consecutive month of year-on-year progress, with December’s 95,652 new registrations marking a 13.5 per cent uptick over the corresponding interval in 2019.

A complete of 916,968 autos had been offered in 2020, marking a 13.7 per cent decline over the 1,062,867 items in 2019, nevertheless the slide might have been worse if not for the enhancements proven in November and December, with the year-to-date slide on the finish of October standing at 18.8 per cent, out to twenty.5 per cent on the finish of September.

Of 2020 new-car gross sales, SUVs continued to extend their dominance available on the market with 49.6 per cent of total gross sales, up from 45.5 per cent in 2019, marking 454,701 items.

Passenger vehicles had been the subsequent hottest with 24.2 per cent share (22,103 items) however the largest gross sales drop at 29.7 per cent, whereas mild industrial autos (LCVs) had a 22.4 per cent share with 205,597 items.

Federal Chamber of Automotive Industries (FCAI) chief govt Tony Weber mentioned 2020 had proved a particularly difficult yr, nevertheless there have been optimistic indicators.

“Together with the remainder of Australia, automotive manufacturers and their seller networks have discovered the final twelve months a particularly difficult interval,” he mentioned.

“The automotive business in Australia accounts for greater than 60,000 staff, with over 4,000 dealerships throughout the nation. The contribution made by these companies is critically necessary to the financial wellbeing of communities throughout Australia.

“It’s subsequently with nice reduction that the business, together with the overall economic system, is lastly noting some optimistic indicators throughout the market.”

Mr Weber added that the outlook was extra optimistic for the yr to come back, with the FCAI predicting a return to nationwide gross sales above a million items.

“We’re cautiously optimistic that we’re initially of a optimistic development, and this can proceed within the first quarter of 2021,” he mentioned.

“All of the indications are fairly robust, in the event you have a look at the final three months of the yr, October was down 1.5 per cent after which we’ve had progress within the final two (months) of 12.4 and 13.5 per cent so what was a horrible yr in some ways is coming off the again … the development is wanting good.”

“We expect there’s nice hope clearly with the vaccine, get COVID underneath management, deal with the well being points, the economic system will flip round, the basics are good.

“What the federal government has accomplished on the federal stage, and what the states and territories have accomplished has been glorious when it comes to the financial help and likewise in the way in which they’ve dealt with the pandemic, so we’re optimistic that it’ll bounce again, the market, because the economic system will, and I feel it is going to actually be north of the place we at the moment are and likely over one million once more, the place it ought to be.”

Mr Weber added that he was assured that the latest enhance in gross sales confirmed underlying power and confidence available in the market, and was not purely a results of pent-up demand stemming from earlier within the yr.

There’s additionally confidence that the dearth of worldwide journey – which in 2019 resulted in Australians spending $26 billion extra abroad than vacationers did in Australia – will result in extra money going in direction of home purchases equivalent to vehicles.

Whereas 2020 was largely a yr of negatives, there have been some positives, notably within the low-emission car area with EV gross sales (excluding Tesla, which doesn’t report back to the FCAI) up 16.2 per cent year-on-year.

Plug-in hybrids (PHEVs) additionally elevated in gross sales by 18.2 per cent, whereas Toyota’s concerted effort to broaden its vary of self-charging hybrid choices performed a significant half in hybrid gross sales climbing a large 93.7 per cent.

Talking of, Toyota unsurprisingly got here out on high as Australia’s best-selling model with 204,801 mixed gross sales – down solely barely on the 205,766 offered over 2019 – marking a 22.3 per cent share of the market, its highest share since 2008.

Its HiLux pick-up was the nation’s hottest car for the fifth yr working, with its 45,176 gross sales besting its major rival, the Ford Ranger, which completed second on 40,973 gross sales.

Toyota additionally had the honour of the best-selling SUV within the land with its RAV4 medium SUV chalking up 38,537 gross sales (third total), whereas the Corolla small automotive was the preferred passenger automotive with 25,882 items (fourth total).

In truth, Toyota autos took up 5 of the highest ten slots, with the LandCruiser off-roader (25,142) ending fifth and the Prado massive SUV (18,034) netting ninth place total.

As talked about, Toyota’s hybrid efficiency was a standout, with 26.5 per cent of all Toyota gross sales made up of hybrids, a stark distinction to 2017 the place hybrids represented solely 3.5 per cent of gross sales.

Second place total belonged to Mazda with 85,640 items (9.3% share), with the CX-5 medium SUV being the model’s solely entrant within the high 10, ending sixth with 21,979 items.

Third place went to Hyundai with 64,807 gross sales (7.1% share) regardless of a 24.7 year-on-year skid, with the trusty i30 small automotive ending seventh total on 20,734 items.

Ford completed fourth on 59,601 items (6.5% share), largely on the again of the aforementioned Ranger which made up greater than two-thirds of total gross sales for the Blue Oval.

Rounding out the highest 5 was Mitsubishi with 58,335 gross sales (6.4% share), represented within the high 10 by the venerable Triton pick-up, ending eighth on 18,136 items.

The final model with a top-10 automotive was Kia, which completed sixth total on 56,076 gross sales (6.1% share), with its Cerato small automotive rounding out the highest 10 on 17,559 items.

Seventh and eighth place belonged to Volkswagen (39,266 gross sales, 4.3% share) and Nissan (38,323, 4.2%), with each manufacturers experiencing total gross sales drops of greater than 20 per cent.

Wrapping up the highest 10 manufacturers was Subaru in ninth (31,501, 3.4%), and luxurious marque Mercedes-Benz Automobiles which managed 29,455 gross sales and a 3.2 per cent share, dipping a comparatively small 7.9 per cent year-on-year.

Benz bested its major luxurious rivals and compatriots Audi and BMW, regardless of each manufacturers really rising their gross sales in 2020 by 1.0 per cent and 0.9 per cent respectively.

BMW completed the yr on 23,520 items (2.6% share), whereas Audi’s 15,868 gross sales (1.7% share) had been little question aided by a flurry of new-model launches all year long.

Arguably the best success story of the yr got here from Chinese language/British model MG, which noticed a substantial 83.2 per cent gross sales raise to fifteen,253 items and a not-insignificant 1.7 per cent market share.

In truth, it was a largely profitable yr for different Chinese language manufacturers too with Haval (3294 gross sales, +93.1%), Nice Wall (1941, +38.5%) and LDV (9323, +43.9%) all thriving within the face of powerful financial circumstances.

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