EV sales hit record high in March amid fuel price hikes, BYD overtakes Tesla again

Electric vehicle sales in Australia surged to a record high in March 2026, with 15,839 units sold, representing 14.5 per cent of the new car market—almost double the share from the same month the previous year. This growth has been fuelled by rising petrol prices and concerns over fuel supply amid geopolitical tensions in the Middle East. The surge in demand was led by Chinese manufacturer BYD, which outpaced Tesla in total brand sales for the month, although Tesla’s Model Y remained the best-selling individual EV model. BYD sold 4,206 electric vehicles in March, surpassing Tesla’s 3,485, despite supply constraints affecting overall sales volumes. Tesla has acknowledged delivery delays, particularly for the Model Y SUV, and has promised increased shipments to address the backlog. Other manufacturers also saw gains, supported by existing incentives and growing consumer interest, with plug-in hybrid electric vehicle (PHEV) sales rising notably to 8,215 units in March, up from just over 5,000 in February. The top-selling EV models in March included the Tesla Model Y with 2,818 sales, followed by BYD’s Sealion 7 SUV with 1,970 units, and Zeekr’s 7X at 679 sales. The market also saw strong performances from models like the Tesla Model 3, Geely EX5, and BYD’s Atto 1, which is Australia’s most affordable EV. These figures highlight an increasingly diverse EV market, with multiple brands and models gaining traction among Australian consumers. Industry experts remain cautious about whether this spike represents a permanent shift in consumer behaviour. Tony Weber, CEO of the Federal Chamber of Automotive Industries, noted that while the recent geopolitical events have accelerated interest in EVs, sustained growth will depend on government support, particularly in expanding public charging infrastructure. He emphasised the need for investment in regional and urban charging facilities to support a long-term transition to electric vehicles. Looking ahead, the rapid increase in demand has led to extended wait times for popular models, which may influence sales trends in coming months. The automotive industry’s commitment to introducing over 100 EV models to the Australian market signals ongoing momentum, but the pace of adoption will likely hinge on supply chain improvements and policy measures aimed at facilitating broader EV accessibility.