Price plunge as cheap EVs flood Australia

A flood of fresh metal from brands you haven’t heard of is set to change the Australian automotive landscape forever.

Australia is set to witness a tug-of-war in the electric car market as new options become available at affordable prices.

New data reveals the number of electric vehicle (EV) models in Australia have more than doubled in the last year and the average drive-away price of an EV has dropped.

Dozens of new EV models are on the way to Australia from China. Photo: AFP.

Figures published by TheBeep.com.au show there were 67 electric models available in January 2023. Today there are 150 electric models on sale, and that number will only increase as brands like BYD, Zeekr, Xpeng, Foton and LeapMotor enter the market.

The Zeekr X electric car launches locally in October. Photo: Supplied

The average drive-away price of an EV, based on Victoria’s drive-away prices as of 1st of August, has also dropped from $128,647 to $117,413.

Industry expert, Co-founder and Director of The Beep, Rob Leigh, says this is just the “tip of the iceberg”.

'The Beep' founders Robert Leigh and Shane Riley.

“The automotive market has never seen so much change so quickly – and it won’t slow down,” he said.

Leigh said the number of EVs options in Australia is not surprising and he expects the market will expand rapidly.

“There are a number of Chinese brands readying their launches and we’re yet to see what the existing mainstream brands have in their EV pipeline,” he said.

MG’s ZS EV is Australia’s cheapest electric car.

These brands are joining the ranks of established brands like Tesla, Hyundai, BMW and Kia and they’re bringing a diverse range of options that cater to various price points and consumer preferences.

As these news brands rapidly try to find their feet in the Australian market, we’ll start to witness a tug-of-war between price cuts driven by intense competition and the arrival of new, often tech-heavy brands that are pushing the boundaries of EVs.

Porsche’s Taycan Turbo GT represents the dear end of the EV spectrum.

Leigh explained that this shift in the market is great for consumers.

“More choice and more competition will see EV pricing start to drop further and further – which is ultimately good for consumers,” he said.

Leigh expects that with new advancements, we should see more consumers making the change.

“Add to this advancements in technology, such as better range and we should see EVs starting to win over more and more consumers too,” he said.

But this fast-paced evolution also brings uncertainty.

Looking at the average drive-away price of an EV by brand, Porsche has the highest drive-away price at a hefty, $271,643, followed by Audi $196,278 and Mercedes Benz $173,689.

The lowest average drive-away price of an EV by brand is GWM Haval at $38,990, followed by Peugeot at $39,990, and Nissan at $44,990.

For those looking to make the switch to electric without breaking the bank, here are the top five most affordable EVs currently on the market.

Top 5 cheapest EVs: The Beep

Over the past 12 months, the EV market has seen significant price shifts, Beep.com.au data reveals while some models have experienced a price drop due to increased competition and advancements in battery technology, others have maintained or even increased their price, particularly in the luxury segment.

Aside from price, we’re also seeing an improvement in the average EV range, with the average now sitting at 481kms.

The Mercedes-Benz EQS offers impressive range. Photo: Supplied

However, there is quite a gap between the ranges available.

Currently, the highest range is the 664 km NEDC from the Mercedes EQS and the lowest range is 253 km WLTP Fiat Abarth 500e.

On the other end of the spectrum, for those seeking luxury and cutting-edge technology, these are the top five most expensive EVs.

Top 5 Expensive EVs. Photo: The Beep

*Figures are based on estimated drive-away prices in Victoria as of 1st of August 2024.